RCM- Common GST Mistake

 RCM Paid but Not Properly Accounted? A Common GST Mistake! 🚨

Many GST taxpayers pay Reverse Charge Mechanism (RCM) liability but fail to record it properly in their books of accounts. This leads to compliance issues, mismatched returns, and loss of eligible ITC!

💡 Common Mistakes Taxpayers Make:

❌ Paying RCM but not recording it separately

❌ Missing out on input tax credit (ITC) claims

❌ Incorrect ledger maintenance, leading to return mismatches

✅ Proper Accounting is the Key!

To avoid these mistakes, maintain separate ledgers for RCM transactions:

📌 Output IGST-RCM | Output CGST-RCM | Output SGST-RCM

📌 Input IGST-RCM | Input CGST-RCM | Input SGST-RCM