TaxTMI 
TaxTMI 
TaxTMI 
Taxpayer is in the business of Export of Services without payment of Tax. he had filed LUT in Dec 2023. in Jan 2024 he made RCM payment for import of services (Software purchase/ subscription fee). can he apply for refund of ITC on RCM.
Refund of RCM in case of Export of Services without payment of Tax
vishwanath shetty
Exporter Challenges RCM Input Tax Credit Refund for Imported Software Services Under IGST Section 16(2) A taxpayer engaged in zero-rated export services seeks refund of Reverse Charge Mechanism (RCM) input tax credit paid on imported software services in January 2024. Legal guidance suggests potential eligibility under Section 16(2) of IGST Act, subject to specific conditions. Circular No.125/44/2019-GST indicates limitations on refunding input service tax credits, with final determination dependent on overall turnover and specific period selection. (AI Summary)