TaxTMI 
TaxTMI 
Dear Experts
We are availing cab service from unregistered person, whether we need to pay GST under revers charge.
Also we are paying GST under reverse charge for availing service of cab service (Radio taxi)
Regards
Vivekanandhan
Reverse Charge
27 Sep 2017 
11 Replies 
1830 Views Asked by
Reverse charge on cab services applies where an unregistered supplier provides the service in furtherance of business, creating recipient GST liability.
Reverse charge on cab services depends on whether the rent-a-cab supply by an unregistered individual is in the course or furtherance of business: if not, reverse charge does not apply; if it is supplied to a registered person for business, the registered recipient must pay GST under reverse charge. A small aggregate payment threshold to unregistered persons was discussed as excusing reverse charge in practice. Questions were also raised about claiming reverse-charge GST as input tax credit in subsequent returns. (AI Summary)
Reverse charge on cab services depends on whether the rent-a-cab supply by an unregistered individual is in the course or furtherance of business: if not, reverse charge does not apply; if it is supplied to a registered person for business, the registered recipient must pay GST under reverse charge. A small aggregate payment threshold to unregistered persons was discussed as excusing reverse charge in practice. Questions were also raised about claiming reverse-charge GST as input tax credit in subsequent returns. (AI Summary)