New Delhi, June 14 -- Mutual fund distributors have urged the Association of Mutual Funds in India (Amfi) to bring their services under the reverse charge mechanism (RCM), saying it could partly offset the income loss caused by the market regulator's revised total expense ratio (TER) rules, according to three people aware of the development.

"Some small distributors have reached out to Amfi to include mutual fund distributors under the reverse charge mechanism to cope with the income hit caused by the revised TER norms," said the first of the three people cited above, all of whom spoke on condition of anonymity.

"RCM could help some distributors regain the pay they lost when GST (goods and services tax) was placed over and above the bas...