Input Tax Credit Related With Rent a Cab, Goods and Services Tax - GST

[brajesh yadav]

Dear Sir,

If i am a Registered person with rent a cab and i take service unregistered so tell me what can i charge GST on rent a cab and what is taxability on Unregistered when registered Tax rate is 5% so please Tell me sir what the rate is with Unregistered and can i take ITC when i pay 18% GST

Posts / Replies

[KASTURI SETHI]

If you provide service to unregistered person, liability to discharge GST is cast upon you. Since you bear expenses of fuel (which was to be borne by service recipient) and discharge liability of GST of recipient, by paying GST @18% in place of @ 5%, it is implied that ITC would be available to you as Service Provider. This is my view.

[brajesh yadav]

Hello Sir,

well can you tell me one thing where is it in Written can you Explain and can you provide some Article About this matter

please sir This Thing for me is very Important

Brajesh Yadav

M.9084859377

Email: [email protected]

[KASTURI SETHI]

I have used the word, "implied" in my reply. The basis of my reply is that there is restriction against column of rate of GST "5% (with no ITC)" .There is no such restriction against higher rate i.e. 18 %. Normally when you pay at higher rate whether it is pre-GST era or post GST era, input service credit/ITC is allowed. In GST full credit of ITC has been allowed whereas it was not so in pre-GST period. There is nothing specific entry to the effect that (with 18% ITC is allowed)". Board should have specifically mentioned against the column--Rate of GST 18% ITC is alllowed. There are some entries of 5% where ITC has been allowed.

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