SERVICES UNDER REVERSE CHARGE
(AS APPROVED BY GST COUNCIL)
The fitment of rates of services were
discussed on 19 May 2017 during the 14th GST Council meeting held at Srinagar,
Jammu & Kashmir. The Council has broadly approved the GST rates for
services at Nil, 5%, 12%, 18% and 28%. The list of services that will be under
reverse charge as approved by the GST Council is given below. The information
is being uploaded immediately after the GST Council’s decision and it will be
subject to further vetting during which the list may undergo some changes. The
decisions of the GST Council are being communicated for general information and
will be given effect to through gazette notifications which shall have force of
law.
Sl.
No. |
Service
|
Provider
of service
|
Percentage
of service tax payable by service provider
|
Recipient
of Service
|
Percentage
of service tax payable by any person other than the service provider
|
1.
|
Taxable
services provided or agreed to be provided by any person who is located in a non-taxable
territory and received by any person located in the taxable territory other
than non-assessee online recipient (OIDAR)
|
Any person who is located in a
non- taxable territory
|
Nil
|
Any person
located in the taxable territory other than non-assessee online recipient (Business
Recipient)
|
100%
|
2.
|
Services
provided or agreed to be provided by a
goods transport agency (GTA) in respect of transportation of goods by road
|
Goods Transport
Agency (GTA)
|
Nil
|
(a) any factory
registered under or governed by the Factories Act, 1948;
(b) any society registered under the Societies Registration Act, 1860 or under any other law for the time being in force in
any part of
India;
(c) any co-operative society established by or under any law; (d) any person registered under CGST/SGST/UTGST Act; (e) any body corporate established, by or under any law; or (f) any partnership firm whether registered or not under any law including association of persons. (g) Casual taxable person |
100%
|
3.
|
Services
provided or agreed to be provided by an individual advocate or firm of
advocates by way of legal services, directly or indirectly
|
An individual advocate or
firm of advocates |
Nil
|
Any business
entity.
|
100%
|
4.
|
Services
provided or agreed to be provided by
an arbitral tribunal
|
An arbitral tribunal
|
Nil
|
Any business
entity.
|
100%
|
5.
|
Sponsorship
services
|
Any person
|
Nil
|
Anybody corporate or partnership firm.
|
100%
|
6.
|
Services
provided or agreed to be provided by Government or local authority excluding,-
(1) renting of immovable property, and (2) services specified below- (i) services by the Department of Posts by way of speed post, express parcel post, life insurance, and agency services provided to a person other than Government; (ii) services in relation to an aircraft or a vessel, inside or outside the precincts of a port or an
airport;
(iii) transport of goods or passengers. |
Government or local
authority |
Nil
|
Any business
entity.
|
100%
|
8.
|
Services
provided or agreed to be provided by a director of a company or a body
corporate to the said company or the body corporate;
|
A director of a
company or a body corporate
|
Nil
|
A company or a
body corporate.
|
100%
|
9.
|
Services
provided or agreed to be provided by
an insurance agent to any person carrying on insurance business
|
An insurance agent
|
Nil
|
Any person carrying on insurance business.
|
100%
|
10.
|
Services
provided or agreed to be provided by a recovery agent to a banking company or
a financial institution or a non-banking financial company
|
A recovery agent
|
Nil
|
A banking
company or a financial institution or a non- banking financial company.
|
100%
|
11.
|
Services by way
of transportation of goods by a vessel
from a place
outside
India up
to the customs station of clearance in India
|
A person located
in non-taxable
territory to a
person located in non-taxable territory
|
Nil
|
Importer as
defined under clause (26) of section 2 of the Customs Act, 1962.
|
100%
|
17.
|
Transfer or
permitting the use or enjoyment of a copyright covered under clause (a) of sub-section
(1) of section 13 of the Copyright Act, 1957 relating to original literary, dramatic,
musical or artistic works
|
Author or music composer, photographer, artist,
etc
|
NIL
|
Publisher, Music
company, Producer
|
100%
|
18
|
Radio taxi or
Passenger Transport Services provided through electronic commerce operator
|
Taxi driver or Rent
a cab operator
|
Nil
|
Any person
|
100% by Electronic Commerce Operator
|