Applicability of Reverse Charge Mechanism (RCM) on Purchases from Unregistered Persons
Section 9(4) of CGST Act, 2017 and Section 5(4) of IGST Act, 2017 contain provisions regarding Reverse Charge Mechanism (RCM) on purchases from unregistered persons. GST on supplies from unregistered person to registered person is levied in the hands of registered person under RCM.
Government has amended the provisions regarding RCM on purchases from unregistered persons vide GST Amendment Acts, 2018.
Refer Complete Article in ICSI GST Newsletter March 2019 Click here