CGST/SGST IS PAYBLE ONLY ON REVERSE CHARGE BASIS

[SHAHID HASHMI]

WHETHER CGST/SGST IS ONLY PAYABLE ON REVERSE CHARGE BASIS BY THE RECIPIENT OF ALL THE SUCH SERVICES AS SPECIFIED VIDE NOTIFICATION NO.13/2017- CENTRAL TAX(RATE)UNDER SECTION 9 OF THE CGST ACT OR IGST WILL ALSO BE PAYABLE UNDER REVERSE CHARGE BY THE RECIPIENT.

AI Summary

Discussion on CGST/SGST and IGST Reverse Charge Mechanism Under Notification No. 13/2017 and Section 9 of CGST Act. A discussion on a forum addressed whether CGST/SGST is payable only on a reverse charge basis by the recipient of services specified in Notification No. 13/2017-Central Tax (Rate) under Section 9 of the CGST Act. Two replies clarified that IGST is also applicable under reverse charge mechanism (RCM). One response explained that if goods transport agency (GTA) services are availed from another state, IGST must be discharged under RCM and claimed as input. Another response noted that IGST applies to interstate supplies under RCM, such as when a registered person sends inputs for job work to another state.