TaxTMI 
TaxTMI 
Sir
sub-
A reg. dealer having machine want to let out his machine to a Reg dealer, how can i give effect in both parties
Treatmemt of Rent/ hire of machinery
05 Apr 2018 
2 Replies 
2677 Views Asked by
Rental of machinery treated as taxable supply; GST requires tax invoice and payment, billed as per rental terms.
Renting out machinery by a registered dealer to another registered dealer constitutes a taxable supply under the definition of supply, including rental and lease. GST applies; the supplier must raise a tax invoice, calculate GST on the rental consideration, and remit the tax to the government. Invoicing follows contractual terms and, if rent is monthly, a tax invoice should be issued monthly. (AI Summary)
Renting out machinery by a registered dealer to another registered dealer constitutes a taxable supply under the definition of supply, including rental and lease. GST applies; the supplier must raise a tax invoice, calculate GST on the rental consideration, and remit the tax to the government. Invoicing follows contractual terms and, if rent is monthly, a tax invoice should be issued monthly. (AI Summary)