Department of Revenue vide circular dated 1st August, 2023 has issued Clarifications regarding applicability of GST on certain services. It is clarified that services supplied by a director of a company or body corporate to the company or body corporate in his private or personal capacity such as services supplied by way of renting of immovable property to the company or body corporate are not taxable under Reverse Charge Mechanism.
Only those services supplied by director of company or body corporate, which are supplied by him as or in the capacity of director of that company or body corporate shall be taxable under RCM in the hands of the company or body corporate.
