Reverse Charge Mechanism (RCM) on renting of motor vehicles

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..... .01.2020 To, Special Commissioner Additional Commissioners/ Joint Commissioners/Deputy Commissioners/ Assistant Commissioner/State Tax Officers/ State Tax, Chhattisgarh (All) . Subject Reverse Charge Mechanism (RCM) on renting of motor vehicles -reg. Suppliers of service by way of rentin .....

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..... effect from 1.10.19: Sl. No. Category of Supply of Services Supplier of service Recipient of Service (1) (2) (3) (4) 15 Services provided by way of renting of a motor vehicle provided to a bod .....

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..... l not charge any tax from the service recipient as this is the settled procedure in law under RCM. There are only two rates applicable on the service of renting of vehicles, 5% with limited ITC and 12% with full ITC. The only interpretation of the notification entry in question which is not absurd would be that (i) where the supplier of the service charges GST @ 12% from the service recip .....

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..... nt only if the supplier fulfils all the following conditions: (a) is other than a body-corporate; (b) does not issue an invoice charging GST @12% from the service recipient; and (c) supplies the service to a body corporate. 6. It may be noted that the present amendment of the notification is merely clarificatory in nature and therefore for the period 01.10.2019 to 30.1 .....

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