PPT: Charge of GST | Taxation for CA Intermediate PDF Download

 Page 1


Reverse Charge under GST
Page 2


Reverse Charge under GST
Credits & Acknowledgements
Page 3


Reverse Charge under GST
Credits & Acknowledgements
Legends Used
AOP Association of Persons
CBIC Central Board of Indirect Taxes and Customs
CG Central Government
FSI Floor Space Index
GST Goods and Service Tax
GTA Goods Transport Agency
ITC Input Tax Credit
LA Local Authority
RCM Reverse Charge Mechanism
SG State Government
UT Union Territory
Page 4


Reverse Charge under GST
Credits & Acknowledgements
Legends Used
AOP Association of Persons
CBIC Central Board of Indirect Taxes and Customs
CG Central Government
FSI Floor Space Index
GST Goods and Service Tax
GTA Goods Transport Agency
ITC Input Tax Credit
LA Local Authority
RCM Reverse Charge Mechanism
SG State Government
UT Union Territory
Presentation Schema
Introduction Flow of GST Reverse Charge Specified Goods
Specified Services
Additional 
Services under 
RCM for IGST
Specified 
Registered 
Recipient
Page 5


Reverse Charge under GST
Credits & Acknowledgements
Legends Used
AOP Association of Persons
CBIC Central Board of Indirect Taxes and Customs
CG Central Government
FSI Floor Space Index
GST Goods and Service Tax
GTA Goods Transport Agency
ITC Input Tax Credit
LA Local Authority
RCM Reverse Charge Mechanism
SG State Government
UT Union Territory
Presentation Schema
Introduction Flow of GST Reverse Charge Specified Goods
Specified Services
Additional 
Services under 
RCM for IGST
Specified 
Registered 
Recipient
Introduction
Under GST, the supplier of goods or services is liable to pay the tax to the Government.
However, under the reverse charge mechanism (RCM), the liability to pay GST is cast on
the recipient of the goods or services.
Reverse charge means the liability to pay tax is on the recipient of supply of goods or
services instead of the supplier of such goods or services, in respect of notified categories of
supply.
The burden to pay GST ultimately lies on the recipient only
Therefore, under RCM, only the compliance requirements, [i.e. to obtain registration under GST, 
deposit the tax with the Government, filing returns, etc.] have been shifted from supplier to recipient. 
However, the underlying principle of indirect tax is that tax burden has to be ultimately borne by the recipient.