Reverse charge under GST on services

[Nihal Shaikh]

Is services by way of transportation of goods by a vessel from a place outside India up to the customs station of clearance in India. In this service Reverse gst is applicable? pls explain

[KASTURI SETHI]

Pl.peruse the Table given below:-

GST Council decision dated 18-6-2017 with respect to GST rates for services and rate of tax for lotteries run/athourised by State Government

[Rajagopalan Ranganathan]

Sir,

The reply is 'yes' vide sl. No. 1 of Notification No. 10/2017- Integrated Tax (Rate) dated 28.6.2017 which lays down that "Any service supplied by any person who is located in a non-taxable territory to any person other than non-taxable online recipient, the integrated tax leviable shall be paid on reverse charge basis by the recipient of the such services.

[CSSANJAY MALHOTRA]

I am in agreement with the views of Sh. Rajgopalan. RCM is applicable and ITC is available provided finished product is taxable. if Freight is known then GST Rate is 5% of same or else if Freight is not known then Taxable Value is taken as 10% of CIF Value of Goods.

[subramanian vijayakumar]

Yes I agree with the views of rajagobalan sir

AI Summary

Reverse charge under GST applies to transport of goods by vessel to India, per Notification No. 10/2017. A query was raised regarding the applicability of reverse charge under GST for services involving the transportation of goods by vessel from outside India to an Indian customs station. The consensus among the respondents is that reverse charge is applicable. This is supported by Notification No. 10/2017-Integrated Tax (Rate), which mandates that the recipient of such services must pay the integrated tax. Furthermore, if the freight is known, the GST rate is 5%; if not, the taxable value is 10% of the CIF value of goods. Input Tax Credit is available if the finished product is taxable.