Reverse Charge | Purchase Reverse Charge Entry | How to make reverse charge entry | RCM

Reverse charge has been suspended for few cases like goods purchased from URD but for transport service, you still need to make reverse charge entry.

1.  Make Purchase voucher and choose Purchase Reverse Charge from dropdown, don't add any tax. Make sure whatever service you choose, you have selected Default Tax Account for the same.

1. These will be reflected in GSTR3B

1.  Now we need to show this tax amount in Balance Sheet and book our liability, for that we'll create journal entry for Increase Of Tax Liability.