Latest Query & Reply

If freight is separately shown in invoice. But GST is not charged on it.
Example:  taxable amt @18%- 20000
GST- 3600
Freight -1200 
Total-24800
whether RCM applicable on Rs 1200 or not

Reply

As defined in Section 15 of CGST Act,2017 and invoice rules all expenses have to be included in the value, and invoice need to be issued accordingly.

In the above case freight will be the part of valuation and 18% GST will be levied on 21200/- (20,000+1200) instead of 20,000.

Therefore RCM will not applicable in above case.