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CBIC issues clarifications on RCM on renting of motor vehicles

January 3, 2020
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CBIC has clarified the amended entry of renting of motor vehicles covered under reverse charge mechanism. It states that RCM shall apply on the service of renting of any motor vehicle designed to carry passengers including cost of fuel in the consideration charged from service recipient, if the supplier is not a body-corporate, does not issue invoice charging GST @12% from service recipient and supplies service to a body corporate.
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