Calculating Reverse Charge for GST

If reverse charge applies to the transactions, the system distributes the tax amounts that the goods or service receiver must pay to the supplier and to the tax authority based on the provider and receiver percentages set up in the F75I802 table.

For example, consider a transaction that is for INR 1,000, 10% GST is applicable, and the percentage of tax payable to the supplier is 40% and the percentage payable to the tax authority is 60%. Then, the receiver must pay INR 1,040 to the supplier and INR 60 must be paid directly to the tax authority.