GST Under RCM

[Niraj Kumar]

Hi...

We have a rental office. We deposit GST as per the rent agreement under RCM.

On 28th Feb, we paid rent to the house owner and missed depositing the GST.
Now we are paying the rental for March and depositing GST for two months. Will it cause any penalty on us?

AI Summary

Missing GST Payment Under RCM for Rental Office: Interest at 18% Applies, No Penalty Imposed. A participant inquired about the implications of missing a Goods and Services Tax (GST) payment under the Reverse Charge Mechanism (RCM) for a rental office. They paid rent in February without depositing GST and plan to pay for both February and March together. Respondents advised that while no penalty would be incurred, interest must be paid on the delayed GST amount. The interest rate is 18% per annum, as per the relevant sections of the Central Goods and Services Tax (CGST) Act.