The CBIC, in Notification No. 06/2024-Central Tax (Rate) dated October 8, 2024, has introduced a reverse charge mechanism (RCM) for the supply of metal scrap by unregistered suppliers to registered recipients. Unregistered suppliers must obtain registration once they exceed the threshold limit. The recipient responsible for RCM must pay tax, even if the supplier is below the threshold.
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 makes the following further amendments in the notification of the Government of India, Ministry of Finance (Department of Revenue), No. 4/2017- Central Tax (Rate), published in the Gazette of India, Extraordinary, Part II, Section 3, Subsection (i), vide number G.S.R. 676(E), dated the 28th June, 2017, namely:-
In the said notification, in the Table, after S. No. 7 and the entries relating thereto, the following S. No. and entries shall be inserted, namely: -
| 8 | 72, 73, 74, 75, 76, 77, 78, 79, 80 or 81 | Metal scrap | Any unregistered person | Any registered person |
This notification shall come into force on the 10th day of October, 2024.
SUBSCRIBE GST E-LIBRARY (INDIA'S HIGHEST GST CASE LAW DATA)
FOR MORE UPDATE ON GST/ IT JOIN OUR FREE WHATSAPP GROUP BY CLICKING ON THIS LINK https://chat.whatsapp.com/C8VB6F6VHme3A061UDQKhj
