12 May 2020
ABC Ltd an aggregator (acting as an agent) (like urbanclap) falls u/s 9(5) of CGST Act, 2017 charges commission @ 10% on the service value made through its online platform for yoga services through yoga instructors (he is a principal). Yoga Service Value: - ₹1000/- (which is exempt under N.No 12/2017) Advance rec. from Mr. X by ABC Ltd.: - 25.04.2020 Performance of Service by Mr. Y: - 05.05.2020 Commission on Service Value: - ₹100/- (₹1000@10%) GST Rate: - 18% on commission. Now my question is that, what will be the point of taxation for the commission charge by ABC Ltd. on the value receive from Mr. X on behalf of Mr. Y? Whether it would be 25.04.2020 or 05.05.2020?
CAclubindia
