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 GST on RCM -  A Simple View ·     If you have RCM liability even, then your threshold limit is less than eligible turnover you must register under gst as per Sec 24 of CGST Act 2017. ·        RCM covered under CGST Act 2017 – under sec 9(3), 9(4) & 9(5) ·    In case of a project developer or construction of apartment by the developer, 80% of inputs and input services [other than capital goods, TDR/JDA, FSI, long-term lease (premium) shall be purchased from registered persons. On shortfall of purchases from 80% tax shall be paid by the builder @18% on RCM basis. However, Tax on cement purchased from unregistered person shall be paid @28% under RCM, and on capital goods under RCM at applicable rates in terms of Section 9(4) the CGST Act,2017 ·    Renting of motor vehicle There are only two rates applicable on the service of renting of vehicles, 5% with limited ITC and 12% with full ITC. ·        Goods – ü cashew nuts not shelled or peeled, ü Beedi wrapper leaves, ü

GST on Renting of immovable property Let us understand the recent changes with respect to Renting of Immovable property. The service is mainly divided into two categories one is Commercial property and other being Residential property .   Renting of Commercial property: This service has always been taxable under forward charge meaning thereby Supplier of Service (i.e., Landlord) has to charge GST on the amount of rent. GST will not be leviable only in case where landlord is not registered. (His aggregate turnover is below the threshold limit of 20 lacs)   Renting of Residential Property for Residential use: Till 17th July ,2022 this service was exempt. However, from 18.07.22 there is no blanket exemption.   Renting of Residential Property for Residential use to a business entity registered under GST: Becomes taxable with effect from 18th July,2022. Service Provider is not liable to charge gst under forward charge, but Service receiver will pay gst under Reverse Charge Me