Reverse charge
mechanism was introduced purposefully to cover unorganized sectors like GTA or
cover small service providers because for them paying tax may not be a problem
but understanding of legal provisions and then complying with those provisions
could really have become difficult but now reverse charge has become fashion
and government applying to any sector even those sector can understand the law
and can manage as well. Reverse charge on legal service/ service by directors
to the company are the best example where Government collecting tax on reverse
charge basis while it should have been directly collected through these service
providers themselves.