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TMI BlogDelay in Payment of RCM liability on Renting commercial space FY 2024-25X X X X Extracts X X X X X X X X Extracts X X X X ..... Delay in Payment of RCM liability on Renting commercial space FY 2024-25 X X X X Extracts X X X X X X X X Extracts X X X X ..... iling 3B return for Mar'25. We are looking to pay the liability and interest now. Please advise how the same has to be paid? Is it ok to pay in Apr'25 GSTR 3B? And show break-up (month wise) on the tab which comes after making payment/set-off (before EVC)? Also, whether self-invoice number to be added in GSTR 1 of Apr'25? Would appreciate your response. Thanks in advance. Reply By ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... YAGAY andSUN: The Reply: Since the GST on renting of commercial property under reverse charge wasn't paid from October 2024 to March 2025, and you've already filed the March 2025 GSTR-3B, the right way to handle this now would be through the April 2025 return. Here's how you can proceed: * Paying the RCM Tax in GSTR-3B (April 2025): You can report the entire RCM tax amount under ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Table 3.1(d) of the April 2025 GSTR-3B return - this is the section for "Inward supplies liable to reverse charge." This tax has to be paid in cash - you can't use input tax credit to pay RCM liability. * Interest Payment for Delay: Since the payment is being made late, interest will also apply. You can pay the interest separately using Form DRC-03. In that form, select "Voluntary payment" ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and indicate that it's for delayed RCM tax. Calculate interest at 18% per annum from the original due date of each GSTR-3B return (for Oct '24 to Mar '25) up to the actual payment date in April '25. * Showing Month-wise Break-up: When you're on the payment confirmation screen of GSTR-3B (just before filing with EVC), there's a section that allows you to give a break-up or ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... remarks. There, you can mention that the RCM payment pertains to Oct '24 to Mar '25 - this is good practice even though it's not mandatory. * Self-Invoice Reporting in GSTR-1 (April 2025): Yes, since you're paying RCM in April, you can show the self-invoice in the April 2025 GSTR-1 under the "Documents Issued" section. If you didn't create self-invoices earlier, you can raise them ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... now (dated April 2025) and just note the applicable months in the invoice description for internal records and audit clarity. * Can You Claim ITC on This Now? Yes, as long as you're paying the tax and fulfilling all conditions (like having the invoice, receiving the service, etc.), you can claim the input tax credit in the same April 2025 GSTR-3B return - under the section for inward supplies ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... under reverse charge. Tip for adherence with compliances (In summary): * Pay the RCM tax in GSTR-3B for April 2025 under Table 3.1(d). * Pay interest separately through DRC-03. * Mention the relevant months as remarks when filing. * Report the self-invoice in GSTR-1 of April. * Claim ITC in the same month, if eligible. Reply By Ganeshan Kalyani: The Reply: Sir, you can pay the outstan ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ding RCM liability now in the current month GSTR-3B.
Reply By Shilpi Jain:
The Reply:
Can pay it in the current returns along with interest. X X X X Extracts X X X X X X X X Extracts X X X X
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