GST liability on Directors Remuneration

Remuneration paid to directors who are not employee of the company would be liable to GST on RCM basis by the Company.

Remuneration paid to directors who are employee of the company should be divided in two categories.

1)Remuneration on which TDS is deducted under Section 192 of the IT Act would not be liable to GST.

2)Remuneration on which TDS is deducted under Section 194J of the IT Act would be liable to GST on RCM basis by the Company.