RCM on Legal services

[Mratunjaya Vajramatti]

We have a Trust registered under GST and Received legal Sponsorship Services are we liable to pay tax under RCM ??

AI Summary

Trusts with GST Registration Must Pay Reverse Charge Mechanism Tax for Legal Services from Advocates A discussion on a forum addresses whether a trust registered under GST is liable to pay tax under the Reverse Charge Mechanism (RCM) for receiving legal sponsorship services. The consensus among respondents is that the trust, being a business entity with a turnover exceeding the exemption threshold, must pay GST under RCM for legal services received from advocates. There's a distinction made between legal services and sponsorship services, with GST under RCM applicable to the latter only when received by corporate bodies or partnership firms. The discussion highlights the need for clarity in the query and the importance of understanding GST registration implications.