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Time Limit for Deposit of GST under RCM

Dip Narayan (Deputy Manager) (772 Points)

20 May 2023

Is there any time limit for payment of Service bill which is under RCM? If yes then can someone help me by providing me the rule/ faq on the same ?

Suppose we have received one service bill in the month of Feb'23 . Can we pay the same in the month of May'23?

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8 Replies

Sandeep Jain (Pivate) (1459 Points)
Replied 20 May 2023

Book bill in Feb 23 and pay the rcm in may 23 with interest.

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Rajendra Prasad (Employee Private) (1867 Points)
Replied 20 May 2023

Time of supply for RCM Invoices -refer Section 13(3) of CGST Act. You can find remedy.

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Pankaj Rawat (GST Practitioner) (55052 Points)
Replied 20 May 2023

Dear Dip Naryan
As per Section 13(3) of CGST Act Supplies inbrespect of which tax is paid on RCM basis the time of supply shall be determined as under : EARLIEST OF FOLLOWING :
a) Date of Payment as entered in books by recipient or the date on which the payment is debited from Bank account, whichever is earlier.
b) 60 days from the date of issue of invoice by supplier.
Proviso : If it is not possible to determine the time of supply under clause (a) or (b) then it will Date of Entry in books of account of the recipient.

So as per your Query if you have not made the payment for the same then TIME OF SUPPLY WILL BE 60 DAYS FROM DATE OF invoice that means you can pay it by April 23. But if clause (a) is satisfied then then need to be deposited without interest on March GSTR 3B

Note : If you are paying the same in May then need to be deposit along with interest @ 18%

3 Like

KRITIKA RAWAT (9 Points)
Replied 20 May 2023

@ pankajrawat thanks nicely explained by you sir

Pankaj Rawat (GST Practitioner) (55052 Points)
Replied 20 May 2023

Thanks ...
.

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Dip Narayan (Deputy Manager) (772 Points)
Replied 21 May 2023

Thank you Rawat sir .

Kishor Lulla (993 Points)
Replied 22 May 2023

If this rcm is paid two years late, can I get itc

Pankaj Rawat (GST Practitioner) (55052 Points)
Replied 23 May 2023

DEAR KISHOR LULLA JI

ITS DEBATABLE !

YES IN CASE OF RCM PAID AGAINST INWARD SUPPLIES FROM URD CAN BE CLAIMED.

As per Section 31(3)(f) of CGST Act, Self Tax invoice need to be generated & in term of Rule 36 of cgst act one of the documentary proof to claim ITC is Tax Invoice. So in case if condition (a) under section 13(3) is not satified (payment not made) & no provision has been done for the same till date then yes in my view after 2 year after genrating Self Tax Invoice the rcm deposited cardit can be claimed.

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