https://www.taxtmi.com/forum/issue?id=117226 Supply of services to an SEZ unit is treated as a zero-rated supply under Section 16(1)(b) of the IGST Act, so the supplier is not liable to tax; accordingly there is no basis to impose tax on the SEZ recipient under the reverse charge mechanism. However, a departmental FAQ treating the recipient as a "deemed supplier" and a departmental communication denying RCM liability for SEZs have created conflicting guidance, and practitioners recommend procuring an LUT while noting GSTR 1 reporting limitations affecting RCM selection. en-us Sun, 16 May 2021 19:30:38 +0530 Thu, 23 Jan 2025 15:54:32 +0530 TaxTMI RSS Generator https://www.taxtmi.com/forum/issue?id=117226 Supply of services to an SEZ unit is treated as a zero-rated supply under Section 16(1)(b) of the IGST Act, so the supplier is not liable to tax; accordingly there is no basis to impose tax on the SEZ recipient under the reverse charge mechanism. However, a departmental FAQ treating the recipient as a "deemed supplier" and a departmental communication denying RCM liability for SEZs have created conflicting guidance, and practitioners recommend procuring an LUT while noting GSTR 1 reporting limitations affecting RCM selection. Discussion-Forum GST Sun, 16 May 2021 19:30:38 +0530 https://www.taxtmi.com/forum/issue?id=117226