Reverse charge is a mechanism where the recipient of the goods or services is liable to pay Goods and Services Tax (GST) instead of the supplier.

Oct 7, 2020 · What is Reverse Charge? Normally, GST is to be collected by the person who is selling good and services. But in some cases GST is to be collected by the purchaser of goods/service and not by seller. This is called Reverse Charge Mechanism, RCM in short. In some cases of sale through E-commerce operator such as Uber,

Jan 3, 2025 · Reverse Charge Mechanism (RCM) is a rule under GST where the buyer (recipient) of goods or services has to pay the GST directly to the government instead of the seller (supplier). How does RCM work? Normally, the seller collects the tax from the buyer and sends it …

Nov 26, 2024 · What is RCM in GST in simple words? This is the process of GST payment by the recipients of goods and services or both to the government instead of supplier. The payment of goods shall only be made to supplier and the GST directly to the government. The liability of payment of GST is transferred to recipient from the supplier.

Oct 10, 2024 · The concept of Reverse Charge Mechanism is incorporated under GST, but in GST regime Government has notified not only supply of certain services but also supply of certain goods under RCM.

Dec 26, 2024 · RCM stands for Reverse Charge Mechanism. It is a rule in the GST (Goods and Services Tax) system where the buyer, not the seller, pays the tax to the government. Usually, sellers collect tax and give it to the government, but under RCM, this process is reversed.

Nov 15, 2023 · The full form of RCM under GST is Reverse Charge Mechanism, where the GST payment process is reversed & instead of the supplier the recipient has to release the tax liabilities.

Feb 13, 2023 · Normally, the supplier of goods or services or both charges and collects the GST from the recipient and deposits the same with Government. However, under the RCM, the liability to deposit tax shifts from the supplier to the recipient.

Reverse Charge Mechanism (RCM) is a mechanism under GST where the recipient of goods or services is liable to pay GST to the government, instead of the supplier. In normal cases, it is the supplier who collects the GST from the recipient and pays it to the government.

What is the Full Form of RCM in GST? The RCM Full Form in GST is Reverse Charge Mechanism. The Indian GST collects taxes via RCM. This is different from supplier GST payments. RCM taxes the buyer. Knowing RCM Simply said, RCM transfers GST payment from supplier to buyer. This covers government-specified supplies.