TaxTMI 
TaxTMI 
As per Sr. No. 14 of Notification No.13/2017 Central Tax (Rate), if a security service is received from any person other than a body corporate, by a registered person, such registered person is liable to pay GST under reverse charge. XYZ is a cooperative housing society not registered with GST being below the threshold limit. Therefore, XYZ even if receives security service from a proprietory concern, since XYZ is not a registered person, XYZ is not liable to pay GST under reverse charge. Is my understanding correct? Views of the experts please.
RCM on Security services
22 Aug 2022 
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Reverse charge on security services may not apply to unregistered cooperative societies receiving services, subject to registration obligation.
The principal operative contention is whether RCM for security services applies only to recipients who are registered under GST; contributors largely assert that an unregistered cooperative society below the threshold is not liable to pay tax under RCM for security services, while others caution that registration rules linked to RCM obligations and differing RCM entries may create exposure and advise obtaining departmental guidance or an advance ruling. (AI Summary)
The principal operative contention is whether RCM for security services applies only to recipients who are registered under GST; contributors largely assert that an unregistered cooperative society below the threshold is not liable to pay tax under RCM for security services, while others caution that registration rules linked to RCM obligations and differing RCM entries may create exposure and advise obtaining departmental guidance or an advance ruling. (AI Summary)