Indian corporates face challenges with GST compliance, particularly self-invoicing and reverse charge mechanism for services from foreign entities. The government is addressing these concerns gradually. Infosys secured partial relief, and other companies may also get relief, as the self-invoice raised by the Indian counterpart is the key document for GST compliance, not the invoice from the foreign party. The Supreme Court’s ruling on service tax on RCM for salaries to expatriates has been extended under GST, where services provided without consideration by foreign entities to related Indian companies are considered a supply.
Source A2ztaxcorp
