What is #RCM full form under #GST? The full form of RCM under GST is #ReverseChargeMechanism, where the GST #payment process is reversed & instead of the #supplier the #recipient has to release the #tax #liabilities.
What is the meaning of RCM? RCM or Reverse Charge Mechanism under GST is a mechanism where the supplier & the recipient change their roles in paying the GST. In the normal system, the #recipient pays the GST to the Supplier who then pays it to the #Government but under Reverse Charge, the recipient pays the GST directly to the Government & not via the Supplier. This Mechanism is applicable to certain situations, #goods & #services specified by the #Government.
What is #ReverseCharge in GST? Reverse Charge in GST is the amount of GST that the recipient has to pay directly to the Government & not through the supplier, because such situations, goods or services were specified by the Government to fall under the Reverse Charge Mechanism.
Can we claim ITC on RCM in the same month? Yes, you can claim the #ITC on RCM in the same month, when you paid the GST under RCM.
How do I claim reverse charge on GSTR 3b? Reverse Charge is not something that you claim but it is something that you pay under the Reverse Charge Mechanism. You can declare the supplies liable to RCM in GSTR-3B & claim ITC on it. You can declare the supplies under RCM in #Table 3.1(d) of Form #GSTR-3B.
BPA Educators offer Basic and advance courses in taxes and accounting, which helps you run your business properly and manage your business wisely.