I am a regular registered dealer as per GST. I had booked a Hotel in USA for My Client Mr.A through a Tour Operator Company "hereinafter called Company" established in Delhi.
An invoice has been raised by the said Company under the head of BILL OF SUPPLY against booking of Hotel in USA for My client Mr. A with our GST Number and all the required detailed of mine.
Now i want to sale the same said service to my client Mr.A who is also a registered person in delhi through invoicing with my commission for providing of accommodation service at Hotel/Inn Rs.20000/-.
My query in this regard >>>>> 1. Is there have any need to pay tax under RCM on purchase made from Company? 2. If answer of 1 is no then how to make invoice of sale for supply the said service received from company?
Hope for the quick and right answer with the treatment of this entry.
29 April 2019
Following points need to understand before reaching any conclusion
Services by Company to U ( as your GSTN No. mentioned in the invoice ) for immovable property Outside India
Proviso of Sec 12(3) of CGST Act says –if the location of the immovable property is located outside India , the place of supply shall be the location of the recipient .
Since both the recipient & supplier is in India , Its not an import and you need not to pay under RCM
Now come to second part – How to make invoice to your client
Sec 15(2) of CGST Act says- The value of supply shall include — (c) incidental expenses, including commission and packing, charged by the supplier to the recipient of a supply and ANY AMOUNT CHARGED for anything done by the supplier in respect of the supply of goods or services or both at the time of, or before delivery of goods or supply of services;”
In my view , You can raise invoice to your client & charge GST – Valuation will be your commission plus hotel charges paid by you . You charge GST on the amount arrived after adding hotel charges
01 May 2019
Thanks for the reply. In the relation to the above query raised..... Respected Mam your mean to say >>
1. We are not eligible for any ITC on Purchase made by us of the said service from Company.
2. We hv to raised the invoice with GST @ 18 % CGST + SGST on Hotel Charges & our Commission too to Mr. A with B2B route (as Mr. A also have GST Number).
CAclubindia
