Services Liable for Reverse Charge under CGST Act – Notification No 13/2017 Central Tax (Rate) Dated 28th June 2017

By | June 29, 2017
(Last Updated On: September 26, 2017)

Notification No 13/2017 Central Tax (Rate) Dated 28th June 2017

To notify the categories of services on which tax will be payable under reverse charge mechanism under CGST Act vide Notification No 13/2017 Central Tax (Rate) Dated 28th June 2017

[ Seeks to amend above notification No. 13/2017-CT(R) to amend RCM provisions for GTA and to insert explanation for LLP. vide Notification No 22/2017 Central Tax (Rate) Dtd 22nd Aug 2017 ]

[ Read Also GST on Advocates legal Services : Govt issues Clarification ]

PUBLISHED IN THE GAZETTE OF INDIA, EXTRAORDINARY, PART II,
SECTION 3, SUB-SECTION (i)
Government of India
Ministry of Finance
(Department of Revenue)
Notification No. 13/2017- Central Tax (Rate)

New Delhi, the 28th June, 2017

G.S.R. 692(E) .- In exercise of the powers conferred by sub-section (3) of section 9 of the Central Goods and Services Tax Act, 2017 (12 of 2017), the Central Government on the recommendations of the Council hereby notifies that on categories of supply of services mentioned in column (2) of the Table below, supplied by a person as specified in column (3) of the said Table, the whole of central tax leviable under section 9 of the said Central Goods and Services Tax Act, shall be paid on reverse charge basis by the recipient of the such services as specified in column (4) of the said Table:-

TABLE

Sl. No.Category of Supply of ServicesSupplier of serviceRecipient of Service
(1)(2)(3)(4)
1Supply of Services by a goods transport agency (GTA) in respect of transportation of goods by road to—

(a)any factory registered under or governed by the Factories Act, 1948 (63 of 1948);or
(b)any society registered under the Societies Registration Act, 1860 (21 of 1860) or under any other law for the time being in force in any part of India; or
(c)any co-operative society established by or under any law; or
(d)any person registered under the Central Goods and Services Tax Act or the Integrated Goods and Services Tax Act or
the State Goods and Services Tax Act or the Union Territory Goods and Services Tax Act; or
(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; or
(g)any casual taxable person.
Goods Transport Agency (GTA)
(a)Any factory registered under or governed by the Factories Act, 1948(63 of 1948); or
(b)any society registered under the Societies Registration Act, 1860 (21 of 1860) or under any other law for the time being in force in any part of India; or
(c)any co-operative society established by or under any law; or
(d)any person registered under the Central Goods and Services Tax Act or the Integrated Goods and Services Tax Act or the State Goods and Services Tax Act or the Union Territory Goods and Services Tax Act; or
(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; or
(g)any casual taxable person; located in the taxable territory.
2Services supplied by an individual advocate including a senior advocate by way of representational services before any court, tribunal or authority, directly or indirectly, to any business entity located in the taxable territory, including where contract for provision of such service has been entered through another advocate or a firm of advocates, or by a firm of advocates, by way of legal services, to a business entity. [ Note-1 ]An individual advocate including a senior advocate or firm of advocates.Any business entity located in the taxable territory.
3Services supplied by an arbitral tribunal to a business entity.An arbitral tribunal.Any business entity located in the taxable territory.
4Services provided by way of sponsorship to any body corporate or partnership firm.Any personAny body corporate or partnership firm located in the taxable territory.
5Services supplied by the Central Government, State Government, Union territory or local authority to a business entity 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 Central Government, State Government or Union territory or local authority;
(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.
Central Government, State Government, Union territory or local authorityAny business entity located in the taxable territory.
6Services supplied 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 corporateThe company or a body corporate located in the taxable territory.
7Services supplied by an insurance agent to any person carrying on insurance business.An insurance agentAny person carrying on insurance business, located in the taxable territory.
8Services supplied by a recovery agent to a banking company or a financial institution or a non-banking financial company.A recovery agentA banking company or a financial institution or a non-banking financial company, located in the taxable territory.
9Supply of services by an author, music composer, photographer, artist or the like by way of 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 to a publisher, music company, producer or the like.Author or music composer, photographer, artist, or the likePublisher, music company, producer or the like, located in the taxable territory.

Explanation.—For purpose of this notification,—

(a)The person who pays or is liable to pay freight for the transportation of goods by road in goods carriage, located in the taxable territory shall be treated as the person who receives the service for the purpose of this notification.
(b)“Body Corporate” has the same meaning as assigned to it in clause (11) of section 2 of the Companies Act, 2013.
(c)the business entity located in the taxable territory who is litigant, applicant or petitioner, as the case may be, shall be treated as the person who receives the legal services for the purpose of this notification.
(d)the words and expressions used and not defined in this notification but defined in the Central Goods and Services Tax Act, the Integrated Goods and Services Tax Act, and the Union Territory Goods and Services Tax Act shall have the same meanings as assigned to them in those Acts.

2. This notification shall come into force on the 1st day of July, 2017.


Download Complete PDF Notification No 13/2017 Central Tax (Rate) Dated 28th June, 2017 in Hindi and English

(Refer Page 158 to 162  of enclosed PDF )

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