TaxTMI 
TaxTMI 
Dear Experts,
As per the provisions of GST , the following two services are comes under RCM category to discharge the GST liabilities?
1. EPF administrative charges paid by the employer.
2. Advance Authorization fee paid by the applicant.
RCM on Supply of Service by Government
30 Aug 2019 
4 Replies 
6516 Views Asked by
Reverse charge mechanism applicability to EPF administrative charges and advance authorisation fee is disputed with conflicting views.
Whether the reverse charge mechanism applies to EPF administrative charges and Advance Authorisation fees is contested: some treat them as statutory levies not constituting consideration and thus not taxable, while alternative administrative practice treats EPF costs within manpower/security supply as subject to GST under RCM; Advance Authorisation fees are variously described but have been identified in practitioner literature as taxable under RCM. (AI Summary)
Whether the reverse charge mechanism applies to EPF administrative charges and Advance Authorisation fees is contested: some treat them as statutory levies not constituting consideration and thus not taxable, while alternative administrative practice treats EPF costs within manpower/security supply as subject to GST under RCM; Advance Authorisation fees are variously described but have been identified in practitioner literature as taxable under RCM. (AI Summary)