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Refer to IRAS E- Tax guide
With effect from 1 Jan 2020, GST would be applied on imported services in the context of business-to-business15 (“B2B”) transactions by way of a reverse charge mechanism.
Under the reverse charge mechanism, when a supplier who belongs outside Singapore makes a B2B supply of services to a GST-registered person who belongs in Singapore,
the GST-registered recipient would be required to account for GST on the value of his imported services as if he were the supplier, to the extent the imported services fall
within the scope of reverse charge. The GST-registered recipient would be allowed to claim the corresponding GST as his input tax, subject to the normal input tax recovery
rules. This GST-registered recipient is either (i) a business that is not entitled to full input tax credit or (ii) a business that belongs in a GST group that is not entitled to full input
Tax code [SRRC] and [SROVR] is added in the Tax table. No action is required by user
Realtimme Cloud allow GST-registered businesses that are subject to reverse charge to record and produce accurate listings of reverse charge transactions.