In the GST environment we all have some confusion about RCM and other Provisions. 
here is some clarification for GST RCM Provisions which will help to decide on which p&L ( Profit And loss Account ) item GST RCM ( Reverse Charge Mechenisam )is applicable and is there any input available or not and do we need to create invoice for that. 
Kindly note that as per council meeting it was decided that if You purchased item or taken services from Unregistered dealer ( URD) in a day in excess of Rs 5000/- then RCM will be applicable. Please note per day Rs 5000/- all expenses. 
AND this 5000/- Rs limit is not applicable on freight Charges for freight charges limit is Rs 750/- per Lorry Receipt. If any LR in excess of Rs 750/- then you have to pay GST on that LR under RCM @ 5%.

all info can be gathered from below table
GST Rates for P&L Items
Page 1

GST Rates for P&L Items eXPENSES
Page 2

GST Rates for P&L Items Expenses
Page 3

GST Rates for P&L Items Expenses RCM provisions
Page 4

Post a Comment