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Gst on commission

mona (Direct Tax) (136 Points)

14 October 2018

In case i am paying commission i need following clarifications:

1. Havee i to charge gst on that?

If yes at what rate.

what in case opposite party is an registered person

what i case opposite party in unregistered person

Thanks

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2 Replies

Pankaj Rawat (GST Practitioner) (55047 Points)
Replied 14 October 2018

No , you are paying commsion & availing services from service provider , so you are not liable to charge & deposit GST ,infact the Service provider will Raise you a bill (As per section 31), the ITC can be claim on the same (As per section 16)

If the Service provider is Registered he will raise you the Tax Invoice & ITC can be claim on same .
If the Service provider is not Registered then Such inward supplies will be treated as exempted supply.

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RAJA P M ("Do the Right Thing...!!!") (128004 Points)
Replied 14 October 2018

Havee i to charge gst on that? - No need.

what in case opposite party is an registered person
- If Service provider is registered under GST then He is charge GST on his Service and Give Taxable Invoice to You based on service and it's value...

what i case opposite party in unregistered person
- If Service provider is URD then no to Pay GST Tax under RCM basis*** (As per my view) No need take any action based on GST.