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If a consent letter is made instead of a rent agreement, GST will not apply under RCM

If you get a consent letter signed instead of a rent agreement to save RCM on rent, and the recipient is not registered under GST, you will have to pay 18% GST regardless of the amount, and then you can claim the GST Input Tax Credit (ITC). One more thing, if you enter into any transaction with a related party, even without consideration, it will be treated as a deemed supply.

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