https://www.taxtmi.com/forum/issue?id=118686 Payments to a foreign government for product registration are characterised as a supply of services constituting an import of services and taxable under the reverse charge mechanism; exemptions in relevant notifications are confined to Indian governmental functions and do not generally relieve such foreign-government fees from RCM. Alternative classifications (goods, actionable claim, intermediary) are viewed as weak and likely to prompt protracted litigation. Practical advice is to discharge tax under RCM with interest to mitigate risk of assessments and penalties and preserve entitlement to input tax credit where applicable. en-us Tue, 08 Aug 2023 17:07:55 +0530 Thu, 23 Jan 2025 14:23:47 +0530 TaxTMI RSS Generator https://www.taxtmi.com/forum/issue?id=118686 Payments to a foreign government for product registration are characterised as a supply of services constituting an import of services and taxable under the reverse charge mechanism; exemptions in relevant notifications are confined to Indian governmental functions and do not generally relieve such foreign-government fees from RCM. Alternative classifications (goods, actionable claim, intermediary) are viewed as weak and likely to prompt protracted litigation. Practical advice is to discharge tax under RCM with interest to mitigate risk of assessments and penalties and preserve entitlement to input tax credit where applicable. Discussion-Forum GST Tue, 08 Aug 2023 17:07:55 +0530 https://www.taxtmi.com/forum/issue?id=118686