Indian company is charging GST @ 18% on IT services supplied to our UK VAT registered client. I thought that the Indian company wouldn't charge GST, and that the UK company would have to apply Reverse Charge VAT. Overall result that way would be that UK company pays the 'net' amount of say £100, compared to the current invoice of £118 where the UK company can't recover the GST.
Any clarification appreciated.
Replies (1)
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I’d like to help but I know nothing about Indian VAT (sic) rules.
Although a quick Google suggests that you are right.