Don't Misguide About GST RCM
GST RCM on wef 1st Feb. 2019
GST Amendment Act, 2018
section 9 of the principal Act, for sub-section (4), the following sub-section shall be substituted, namely:––
“(4) The Government may, on the recommendations of the Council, by notification, specify a class of registered persons who shall, in respect of supply of specified categories of goods or services or both received from an unregistered supplier, pay the tax on reverse charge basis as the recipient of such supply of goods or services or both, and all the provisions of this Act shall apply to such recipient as if he is the person liable for paying the tax in relation to such supply of goods or services or both.”
Notification 01/2019 dt 29.01.2019
Plain Reading of this notification is that The Extention notification on RCM 9(4) is withdrawn.
Hence from 01/02/2019, RCM 9(4) earlier Rs 5000/- Daily Limit will be applicable for Purchase from Unregistered Persons.
But wef 01/02/2019, the above mentioned in Sec 9(4) of Amendment Act, 2018 also come in to force therefore,
For Applicability of Sec 9(4) RCM Act Which Specifically Required "Specified Class of Registered Persons" And Also "Specified Category of Goods / Service / Both"
Till the time GST Council has not Provide any details about Class of Persons and Category of Goods/Services to make applicable Section 9(4) RCM
Hence It is Required to Amend the GST Rules to be in line with the changes brought to the Act wef 01/02/2019.
Check out the amendments in Nitification 03/2019 CT, 05/2019 CT, 06/2019 CT, 02/2019 IT & 03/2019 IT
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