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Reverse charge mechanism -Compliance - GST Ready Reckoner - GSTExtract Compliance in respect of supplies under reverse charge mechanism The person liable to pay tax under GST under RCM is required to issue invoice in name of self as per provision and rules prescribed under this act . It also Known as Self invoicing . Invoice shall be issued within a period of thirty days from the date of receipt of the said supply of goods or services, or both. [ Rule 47A ] Maintenance of accounts by registered persons : Every registered person is required to keep and maintain records of all supplies attracting payment of tax on reverse charge. Any amount payable under reverse charge shall be paid by debiting the electronic cash ledger. In other words, reverse charge liability cannot be discharged by using input tax credit. However, after discharging reverse charge liability, credit of the same can be taken by the recipient, if he is otherwise eligible. Invoice level information in respect of all supplies attracting reverse charge, rate wise, are to be furnished separately in the table 4B of GSTR-1. Advance paid for reverse charge supplies is also leviable to GST . The person making advance payment has to pay tax on reverse charge basis. The ECO may, on services notified under section 9 (5) of the CGST Act,2017 , including on restaurant service provided through ECO, may continue to pay GST by furnishing the details in GSTR 3B, reporting them as outward taxable supplies for the time being. Besides, ECO may also, for the time being, furnish the details of such supplies of restaurant services under section 9(5) of CGST Act 2017 in Table 7A(1) or Table 4A of GSTR-1 , as the case maybe, for accounting purpose. Registered persons supplying restaurant services through ECOs under section 9(5) of CGST Act 2017 will report such supplies of restaurant services made through ECOs in Table 8 of GSTR-1 and Table 3.1 (c) of GSTR-3B , for the time being.
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