The fitment of rates of services were discussed on 19 May 2017 during the 14th GST Council meeting held at Srinagar, Jammu & Kashmir.
The Council has broadly approved the GST rates for services at Nil, 5%, 12%, 18% and 28%. The list of services that will be under reverse charge as approved by the GST Council is given below.
Sl. No. |
Service | Provider of service |
Percentage of service tax payable by service provider | Recipient of Service | Percentage of service tax payable by any person other than the service provider |
1 | Taxable services provided or agreed to be provided by any person who is located in a non-taxable territory and received by any person located in the taxable territory other than non-assessee online recipient (OIDAR) | Any person who is located in a non-taxable territory | Nil | Any person located in the taxable territory other than non-assessee online recipient (Business Recipient) | 100% |
2 | Services provided or agreed to be provided by a goods transport agency (GTA) in respect of transportation of goods by road | Goods Transport Agency (GTA) | Nil | (a) any factory registered under or governed by the Factories Act, 1948; (b) any society registered under the Societies Registration Act, 1860 or under any other law for the time being in force in any part of India; (c) any co-operative society established by or under any law; (d) any person registered under CGST/SGST/UTGST Act; (e) any body corporate established, by or under any law; or (f) any partnership firm whether registered or not under any law including association of persons. (g) Casual taxable person |
100% |
3 | Services provided or agreed to be provided by an individual advocate or firm of advocates by way of legal services, directly or indirectly |
An individual advocate or firm of advocates |
Nil | Any business entity. | 100% |
4 | Services provided or agreed to be provided by an arbitral tribunal |
An arbitral tribunal |
Nil | Any business entity. | 100% |
5 | Sponsorship services | Any person | Nil | Anybody corporate or partnership firm. |
100% |
6 | Services provided or agreed to be provided by Government or local authority excluding,- (1) renting of immovable property, and (2) services specified below- (i) services by the Department of Posts by way of speed post, express parcel post, life insurance, and agency services provided to a person other than Government; (ii) services in relation to an aircraft or a vessel, inside or outside the precincts of a port or an airport; (iii) transport of goods or passengers. |
Government or local authority |
Nil | Any business entity. | 100% |
7 | Services provided or agreed to be provided by a director of a company or a body corporate to the said company or the body corporate; |
A director of a company or a body corporate |
Nil | A company or a body corporate. | 100% |
8 | Services provided or agreed to be provided by a director of a company or a body corporate to the said company or the body corporate; |
A director of a company or a body corporate |
Nil | A company or a body corporate. | 100% |
9 | Services provided or agreed to be provided by an insurance agent to any person carrying on insurance business |
An insurance agent |
Nil | Any person carrying on insurance business. |
100% |
10 | Services provided or agreed to be provided by a recovery agent to a banking company or a financial institution or a non-banking financial company |
A recovery agent |
Nil | A banking company or a financial institution or a nonbanking financial company. |
100% |
11 | Services by way of transportation of goods by a vessel from a place outside India up to the customs station of clearance in India |
A person located in non-taxable territory to a person located in non-taxable territory |
Nil | Importer as defined under clause (26) of section 2 of the Customs Act, 1962. |
100% |
12 | Transfer or permitting the use or enjoyment of a copyright covered under clause (a) of sub-section (1) of section 13 of the Copyright Act, 1957 relating to original literary, dramatic, musical or artistic works |
Author or music composer, photographer, artist, etc |
Nil | Publisher, Music company, Producer |
100% |
13 | Radio taxi or Passenger Transport Services provided through electronic commerce operator |
Taxi driver or Rent a cab operator |
Nil | Any person | 100% by Electronic Commerce Operator |