Rcm applicable in gta below 750 Rs.

[Affirmservicesconsultancy Privatelimited]

Is RCM under GTA IS APPLICABLE FOR THE AMOUNT BELOW Rs. 750. IS THERE IS ANY CHANGES IN 2022.

AI Summary

Reverse Charge Mechanism Applies to Freight Charges Below Rs. 750 After Exemption Removed by Notification No. 04/2022 A discussion on a forum initiated by a consultancy firm questioned whether the Reverse Charge Mechanism (RCM) under Goods Transport Agency (GTA) is applicable for amounts below Rs. 750. Four replies were received. One response clarified that the exemption under Notification No. 12/2017-Central Tax for amounts under Rs. 750 was removed by Notification No. 04/2022, effective from July 18, 2022. Consequently, RCM is applicable for freight charges below Rs. 750. Other contributors agreed with this interpretation, confirming the applicability of RCM post the exemption's removal.