Author: Sradha Lakshmi PS

Input Tax Credit (ITC) is an important feature of the GST system that helps businesses reduce their tax burden. When a company purchases goods or services, it pays GST to the supplier. Later, while selling its own products or services, the company collects GST from customers. ITC allows the business to subtract the GST already… Continue reading Input Tax Credit (ITC)

The Reverse Charge Mechanism (RCM) is a system under GST where the recipient of goods or services, instead of supplier is responsible for paying the applicable GST directly to the government. RCM is used in situations where the government wants to ensure tax compliance from organized entities, such as purchases from unregistered suppliers, import of… Continue reading Reverse Charge Mechanism (RCM)

Softex refers to a Software Export Declaration Form used by Indian companies to report the export of software and IT-enabled services to clients outside India. It is submitted to the software Technology Parks of India (STPI) and serves as a proof of export under the regulations of the Reserve Bank of India (RBI). The purpose… Continue reading SOFTEX