The RCM provisions make it incumbent upon the ‘recipient’ of goods or services to discharge the tax liability, instead of the regulation supplier/vendor.
While we are well versed with the provisions of S.9(3) and 9(4) of the CGST Act, 2017 as also S.5(3) and 5(4) of the IGST Act,2017, it is worthwhile to trace the origins of this ingenious concept introduced by the taxing authorities, which was though of to curb the menace of ‘MTIC’ (Missing Trader Intra-Community) or ‘Carousel’ frauds.
Source Taxguru
