rcm Question No.06

QUESTION

1. I have purchased Office 365 from Microsoft Online, for which the Invoice was issued by `Microsoft Regional Sales Pte Ltd` bearing GSTIN 9917SGP29005OSL (Taxpayer Type `Non Resident Online Services Provider`). PAN mentioned is AADCM1638A - `Microsoft Regional Sales Pte Ltd` IGST @ 18% was mentioned in Invoice. My GSTIN is not mentioned in the Invoice. Payment for the same was made in INR using HDFC Credit Card. Am I eligible to claim the GST Credit, assuming that I get my GSTIN entered in the Invoice ? Whether I am liable to any reverse charge liability ? 2. I purchased one online VBA course from www.udemy.com and paid in INR. They issued my one Invoice from `Udemy India LLP` bearing GSTIN 06AAFFU9763M1ZE whereas PAN mentioned is AAQCS4291A which is NOT a Valid PAN No. IGST Rs. 192 is charged in Invoice, but on the website there is no option to capture the GSTIN of the buyer. Whether GSTIN mentioned on the Invoice can be based on a PAN different than the PAN mentioned on the Invoice ? I have emailed several times to them regarding entering my GSTIN in the Invoice and issue a proper Tax Invoice, but have not yet received a resolution. Whether I can complain regarding the no-option to enter the GSTIN of the buyer ? Where I can complain regarding the same ?

ANSWER

Facts of the case:

1. I have purchased Office 365 from Microsoft Online, for which the Invoice was issued by `Microsoft Regional Sales Pte Ltd` bearing GSTIN 9917SGP29005OSL (Taxpayer Type `Non Resident Online Services Provider`). PAN mentioned is AADCM1638A IGST @ 18% was mentioned in Invoice. My GSTIN is not mentioned in the Invoice. Am I eligible to claim the GST Credit, assuming that I get my GSTIN entered in the Invoice ? Whether I am liable to any reverse charge liability ?
2. I purchased one online VBA course from www.udemy.com and paid in INR. They issued my one Invoice from `Udemy India LLP` bearing GSTIN 06AAFFU9763M1ZE, IGST Rs. 192 is charged in Invoice, but on the website there is no option to capture the GSTIN of the buyer. I have emailed several times to them regarding entering my GSTIN in the Invoice and issue a proper Tax Invoice? Where I can complain regarding the same?

Law Applicable:

CGST RULE 46
Subject to rule 54, a tax invoice referred to in section 31 shall be issued by the registered person containing the following particulars, namely,-

(a) name, address and Goods and Services Tax Identification Number of the supplier;
(b) a consecutive serial number not exceeding sixteen characters, in one or multiple series, containing alphabets or numerals or special characters hyphen or dash and slash symbolised as '-' and '/' respectively, and any combination thereof, unique for a financial year;
(c) date of its issue
(d) name, address and Goods and Services Tax Identification Number or Unique Identity Number, if registered, of the recipient;

Interpretation:

1. As per Rule 46 of CGST Rules, GSTN of the recipient is required to be mentioned on Invoice.

If GSTN is not mentioned on invoice and accordingly not in Return then the same will not reflect in your GSTR-2A and you will not be eligible to claim ITC.

Further if you will get the invoice corrected in time mentioning your GSTN, then you will be eligible to take ITC subject to conditions of section 16.

This transaction is not covered within the ambit of Notification no. 13/2017 Central Tax (Rate), thus there is no reverse charge liability on purchase of Office 365 from Microsoft Online, for which the Invoice was issued by `Microsoft Regional Sales Pvt Ltd` bearing GSTIN 9917SGP29005OSL.

2. As the amount of IGST i.e. 192/- is not a huge amount, so going into litigation will be wastage of time and energy. You are advised to write a letter to the Regional Jurisdictional Officer of Service Provider.

Conclusion: GSTN of recipient is required to be mentioned on Invoice. If you will get the invoice corrected in time mentioning your GSTN, then you will be eligible to take ITC subject to conditions of section 16. This transaction is not covered within the ambit of Notification no. 13/2017 Central Tax (Rate), thus there is no reverse charge liability.(Reply dt. 10.11.2020)