Reverse Charge applicability of GST or Not

[shankar narayanan]

Vendor is from Mumbai (Un-registered service provider) since Vendor is falling below the threashold limit of ₹ 20L. Vendor issued invoice to his Noida customer towards supply of one manpower to his Noida Customer. As per invoice place of provision of service is Noida. As per invoice Service provider is Mumbai address and Service Recipient is Noida address

Query is whether Noida customer need to pay GST under reverse charge ? Please clarify

AI Summary

No reverse charge GST for Noida customer on manpower supply from unregistered Mumbai vendor under current rules. A discussion on the applicability of the Goods and Services Tax (GST) under reverse charge for a Noida customer receiving manpower supply services from an unregistered Mumbai vendor. The vendor's service falls below the 20 lakh threshold, and the service location is Noida. A participant clarified that manpower supply is not subject to reverse charge mechanism (RCM), unlike security services. It was confirmed that the Noida customer is not required to pay GST under RCM as per the relevant notifications, although an exemption withdrawal was noted effective from February 1, 2019.