TaxTMI 
TaxTMI 
So if we purchase from URD & pay him via bank & if the amount is below 5000, are we exempted from reverse charge ??
If a buyer of goods is also URD then is he exempted from paying reverse charge even bill cross above 5000 ??
Please elaborate
Purchase from URD
04 Jul 2017 
2 Replies 
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Reverse charge applies where an unregistered supplier supplies to a registered recipient; payment mode or amount do not avoid liability.
Reverse charge is triggered when a supplier who is not registered supplies taxable goods or services to a registered person, making the recipient liable to pay central tax under reverse charge; an unregistered supplier (below the registration threshold) cannot issue a taxable invoice, and if both supplier and recipient are unregistered reverse charge does not arise. (AI Summary)
Reverse charge is triggered when a supplier who is not registered supplies taxable goods or services to a registered person, making the recipient liable to pay central tax under reverse charge; an unregistered supplier (below the registration threshold) cannot issue a taxable invoice, and if both supplier and recipient are unregistered reverse charge does not arise. (AI Summary)