RCM APPICABILITY FOR SERVICES PROVIDER FOR OVERSEA VENDOR

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..... Dear Sir, May we request you to kindly advice guide us on the applicability of GST RCM on our case. Your comment support will be highly appreciated. Stage 1 - We are presently buying hotel transport from Bhutan. The Bhutan operator does not charge any GST as it does not fall in Indian tax jurisdiction. Hence let take our purchase price as INR 100 Stage 2 Now when we sale the pac .....

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..... kage to X agency in Indian then we bill the agency with GST of 5%. Here our sale become our Bhutan Purchase INR 100 + Our markup 10 (100 + markup 10 ) + GST of 5% on 110 +5% GST = INR 115.50 Comments required Are the above transaction fine as per the current GST procedure Do we need to charge RCM of 5% on our purchase price from Bhutan i.e 100 In case we charge RCM then our tax c .....

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..... omponents become 10% Will we get input credit for paying the RCM for oversea supplier who is not part of Indian tax jurisdiction. In case we don t get input credit then our product become 10% higher in compare to any direct supplier from Bhutan to come to india and lock in business. Anyway we are already higher by 5% as we are paying GST of 5% hence RCM will become a extra loading for us. .....

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..... Your comment advice will be highly appreciated Regards Rajiv - Reply By Kishan Barai - The Reply = RCM would be Applicable if purchase price is above 5000 INR from India Only - Reply By Ganeshan Kalyani - The Reply = In my view purchase from Bhutan is an import. The IGST paid on such purchase is an eligible credit. - Reply By subramanian vijayakumar - The Reply = Yes it is inter .....

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..... state. Supply. IGST IS ATTRACTED I THINK IAM SUPPOSED TO BE CORRECT - RCM APPICABILITY FOR SERVICES PROVIDER FOR OVERSEA VENDOR - Query Started By: - RAJIV PATEL Dated:- 20-7-2017 Goods and Services Tax - GST - Got 3 Replies - GST - Discussion Forum - Knowledge Sharing, reply post by an expert, personal opinion Tax Management India - taxmanagementindia - taxmanagement - taxmanagementindia.com .....

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..... - TMI - TaxTMI - TMITax .....

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