The Central Government has today notified that the supply of priority sector lending certificates by the registered person would attract Goods and Services Tax (GST) under reverse charge mechanism.
Priority Sector Lending Certificates is a tool for promoting comparative advantages among banks while they meet their priority sector lending obligations in India.
As per the notification issued by the Central Board of Indirect Taxes and Customs (CBIC), the supply of Priority Sector Lending Certificates by a registered person to a registered person would be subject to GST under reverse charge.
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