A client (Company A) has taken an ECB loan from a group company in the US (Company B). This is an INR-denominated ECB and therefore the loan is received in INR and the interest on loan also will be paid in INR to Company B. Is Company A liable to pay GST under reverse charge on this transaction?
Kaustubh Karandikar Asked question October 6, 2020
No GST is applicable on Loan amount (money) as well as interest on loan (exempt). No liability to pay tax under RCM.
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Frah Saeed Changed status to publish October 9, 2020