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Under Sec 13(3) for services under reverse charge, time of supply is the earlier of:
ADate of invoice OR date of payment
BDate of payment OR 60 days from date of invoice issued by supplier
CDate of provision of service
DDate of entry in books
Answer & Solution
Correct answer: B. Date of payment OR 60 days from date of invoice issued by supplier
1. Sec 13(3) RCM time of supply for services.
2. It is the EARLIER of: (a) date of payment in recipient's books / bank, and (b) the date immediately after 60 days from date of invoice issued by the supplier.
3. Note: 60 days for services vs 30 days for goods.
_Source: ICAI BoS CA Final Paper 8, Ch 4 "Time of Supply", §Sec 13(3)_
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