Goods & services Notified under Reverse Charge under Section 9(3) - GST Ready Reckoner - GST

Goods services Notified under Reverse Charge under Section 9(3) Supply of certain goods and services specified by the CBIC This scenario is covered by section 9(3) of the CGST Act, 2017 and section 5(3) of the IGST Act 2017 The Government may, specify categories of supply of goods or services or both, the tax on which shall be paid on RCM basis by the recipient of such 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 the supply of such goods or services or both. The list of specified supply of goods on which GST paid under RCM, has been notified vide Notification Nos 4/2017 - Central Tax dated 28-06-2017 as amended from time to time under Section 9(3) of the CGST Act, 2017. The list of specified supply of services on which GST paid under RCM, has been notified vide Notification No. 13/2017- Central Tax dated 28-06-2017 as amended from time-to-time u/s 9(3) of the CGST Act, 2017. The list of additional services (Import of Service or goods) on which GST paid under RCM, has been notified by the Central Government Notification No.10/2017-Integrated Tax (Rate) Dated 28-06-2017 as amended from time-to-time u/s 5(3) of the IGST Act, 2017. Exemptions on supply of services - hence RCM shall also not be applicable Notification No. 9/2017-Integrated Tax (Rate) dated 28th Jun 2017 as amended from time-to-time u/s 5(1) of the IGST Act, 2017. Important Clarification Clarification on levy of GST on director's remuneration [ Circular no. 140/10/2020-GST Dated 10/06/2020 ] 5.3. Accordingly, it is clarified that the part of Director s remuneration which are declared as Salaries in the books of a company and subjected to TDS under Section 192 of the IT Act, are not taxable being consideration for services by an employee to the employer in the course of or in relation to his employment in terms of Schedule III of the CGST Act, 2017 . 5.4 It is further clarified that the part of employee Director s remuneration which is declared separately other than salaries in the Company s accounts and subjected to TDS under Section 194J of the IT Act as Fees for professional or Technical Services shall be treated as consideration for providing services which are outside the scope of Schedule III of the CGST Act , and is therefore, taxable. Further, in terms of notification No. 13/2017 Central Tax (Rate) dated 28.06.2017 , the recipient of the said services i.e. the Company, is liable to discharge the applicable GST on it on reverse charge basis . Services supplied by a director of a company or body corporate to the company or body corporate in his private or personal capacity such as services supplied by way of renting of immovable property to the company or body corporate are not taxable under RCM. Only those services supplied by director of company or body corporate, which are supplied by him as or in the capacity of director of that company or body corporate shall be taxable under RCM in the hands of the company or body corporate under Notification No. 13/2017-CTR (Sl. No. 6) dated 28.06.2017.