GST Compliance | RCM Compliance

RCM tagged at capture. Self-invoice issued. 3B Table 3.1(d) populated.

Notified categories under Section 9(3) (legal, GTA, security, advocate, residential rent, import of services) auto-flagged. Section 9(4) (registered buyer, unregistered seller) flagged where applicable. Self-invoice with IRN where threshold applies. ITC claimed in next month per Section 16(2)(c).

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How it works

From RCM bill to right 3B.

Step 01

RCM auto-flagged at capture

Notified Section 9(3) categories auto-flagged by GL and vendor category. Section 9(4) flagged where applicable. Foreign-vendor RCM (import of services) tagged separately.

Step 02

Self-invoice generated

Self-invoice raised against the vendor with IRN where the threshold applies. Tax computed at the right rate; cess applied where relevant.

Step 03

3B Table 3.1(d) populated

RCM tax liability auto-populated. The matching ITC claim drafted for the next month per Section 16(2)(c).

Step 04

Audit trail captured

Self-invoice, IRN, tax computation and ITC claim captured in the RCM register. Hash-verified for GST audit.

What the system does

Capability, input, output.

Capability	Input	Output
RCM auto-flag	Bill category + Section 9(3)/9(4) rules	RCM tag at capture
Self-invoice	Bill + RCM tag + IRN threshold	Self-invoice with IRN
Foreign-vendor RCM	Import of services + RBI rate	Self-invoice in INR with FX
3B population	RCM register for the period	Table 3.1(d) drafted
ITC next-month	RCM payment + Section 16(2)(c) gate	ITC claim drafted for next month

RCM auto-flag

Input

Bill category + Section 9(3)/9(4) rules

Output

RCM tag at capture
Self-invoice

Input

Bill + RCM tag + IRN threshold

Output

Self-invoice with IRN
Foreign-vendor RCM

Input

Import of services + RBI rate

Output

Self-invoice in INR with FX
3B population

Input

RCM register for the period

Output

Table 3.1(d) drafted
ITC next-month

Input

RCM payment + Section 16(2)(c) gate

Output

ITC claim drafted for next month

Compliance + integrations

RCM the way the law expects.

Section 9(3) notified categories and Section 9(4) overlap covered. Self-invoice with IRN under Rule 36(1)(b). ITC claim gated by tax payment under Section 16(2)(c).

Regulations we work within

Section 9(3), CGST Act

Notified categories tagged at capture.
Section 9(4), CGST Act

Registered buyer / unregistered seller flagged where applicable.
Rule 36(1)(b)

Self-invoice raised under RCM with IRN where threshold applies.
Section 16(2)(c)

ITC claimed only after tax is paid.

Connects to

GSTN (e-Invoice) IRN for self-invoices
Tally Prime Self-invoice sync

RCM Compliance FAQ

What buyers ask.

Which services attract RCM under Section 9(3)?

Notified list includes legal services from advocates, GTA for road transport, security from non-corporates, sponsorship, services from a director, RBI to non-banking entity, residential rent for office, and import of services. Auto-flagged by GL and vendor category.

Foreign vendor invoice. RCM applied?

Yes. Import of services attracts RCM. Self-invoice in INR using RBI reference rate, IGST applied, posted to 3B Table 3.1(d). ITC next month per Section 16(2)(c).

When is the ITC on RCM available?

In the month the tax is paid (cash basis) per Section 16(2)(c). The system gates the ITC claim to the next month after the RCM payment is recorded in 3B.

Related features

Forward your last advocate or GTA bill. See the self-invoice.

Connect one entity, free. The next legal, GTA or import-of-services bill triggers RCM. Self-invoice and 3B Table 3.1(d) auto-populate.