Reverse Charge Mechanism (RCM) under GST

[DS Pal]

Dear Experts,

We are receiving services of renting of immovable property from unregistered person against which we are liable to pay GST under RCM.

Let suppose, we have made an advance payment to supplier on 08/04/2025 as rent for the month of April 2025. Whether we have to do record RCM on payment voucher recorded in books on 08/04/2025?

However, the unregistered supplier is submitting an invoice for April 2025 to us during the month of May 2025 (Let say 02/05/2025).

Now, what will be the time limit for issuing self-invoice against such transaction?

Further, On which date/entry, RCM liability to be recorded in books i.e. on the date on which payment has been made to supplier (08/04/2025) or date of self-invoicing?

 

Thanks

AI Summary

Rental Services from Unregistered Supplier Trigger Reverse Charge Mechanism with Specific GST Compliance Requirements A company received immovable property rental services from an unregistered supplier and is liable for Reverse Charge Mechanism (RCM) under GST. The key considerations include determining the time of supply, which is the earlier of payment date or 60 days from invoice date. RCM liability arises on payment date, and a self-invoice must be issued within 30 days of service receipt. The GST liability should be recorded in the books on the payment date, without duplicating the entry when self-invoicing.