If a travel company made advance payment to Airline company as deposit on which travel company is getting incentive. will GST be applicable on such incentive???
As per proviso to Section 2(31) of CGST Act, a deposit given in respect of supply of goods or services or both shall not be considered as payment made for such supply unless supplier applies such deposit as consideration for the said supply. Therefore no gst would be charged since airline company is treating advance payment as deposit