TaxTMI 
TaxTMI 
my question is whether rcm on mandi tax is leviable on purchase of wood from unregistered dealers
exp-purchase value of wood is 100/-
mandi tax is 2.50/-
on what amount rcm is leviable
whether gst on mandi tax in up is leviable or not
06 Jan 2023 
8 Replies 
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Reverse charge on mandi tax depends on whether the levy is a fee for service or a statutory tax affecting GST liability.
Applicability of GST under the reverse charge mechanism to mandi tax depends on whether the levy is a statutory tax without quid pro quo (not service) or a fee for services; if a fee it may be taxable either by being included in the value of supply or by RCM. Determination requires assessing whether services are supplied by government/local authorities and whether specific notifications exempt or treat the levy as neither a supply nor taxable. (AI Summary)
Applicability of GST under the reverse charge mechanism to mandi tax depends on whether the levy is a statutory tax without quid pro quo (not service) or a fee for services; if a fee it may be taxable either by being included in the value of supply or by RCM. Determination requires assessing whether services are supplied by government/local authorities and whether specific notifications exempt or treat the levy as neither a supply nor taxable. (AI Summary)