TaxTMI 
TaxTMI 
GST under reverse charge
X X X X Extracts X X X X
X X X X Extracts X X X X
....ST under reverse charge<br> Query (Issue) Started By: - Kaustubh Karandikar Dated:- 15-3-2023 Last Reply Date:- 16-3-2023 Goods and Services Tax - GST<br>Got 2 Replies<br>GST<br>XYZ (Proprietor) is providing bus service for transporting employees of PQR Ltd. (Body Corporate). XYZ (Proprietor) also supplying Motor Cars for the employees of PQR (Ltd.) for their official work of the company and not c....
X X X X Extracts X X X X
X X X X Extracts X X X X
....harging 12% (6% + 6%) GST in both the cases. Is under both the situations, PQR Ltd. (Body Corporate) is required to pay GST under reverse charge? If yes, whether once it is paid, PQR can claim ITC of the same? Reply By Padmanathan Kollengode: The Reply: As per Notification No. 13/2017 - Central Tax (Rate) dated 28-06-2017 as amended by Notification No.22/2019 Central Tax (Rate) dated 30-09-2019....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... and Notification No.29/2019 Central Tax (Rate) dated 31-12-2019, the following services shall be taxable on RCM by body corporate: Services provided by way of renting of any motor vehicle designed to carry passengers where the cost of fuel is included in the consideration charged from the service recipient, provided to a body corporate. Therefore in both cases, PQR ltd shall be liable to pay GS....
X X X X Extracts X X X X
X X X X Extracts X X X X
....T on RCM basis in case the consideration paid to XYZ is inclusive of cost of fuel. Regarding second part of the query, in my opinion ITC of bus rented can be claimed, though it is not free from litigation. There is a ruling of Maharashtra AAR in Tata Motors and Kerala AAR in Malabar Cements - 2022 (8) TMI 1236 - AUTHORITY FOR ADVANCE RULING, KERALA, wherein it was held that ITC was available for ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....bus (after the amendment to 17(5)(a) wef 01-02-2019). On the other hand, ITC of motor cars rented cannot be claimed due to 17(5)(b). Reply By Kaustubh Karandikar: The Reply: Thanks Padmanathan sir for your kind advice.<br> Discussion Forum - Knowledge Sharing ....