Section 2(5) of the proposed GST Act, 2016 (Amended Nov. 2016) defines, "agent" as under:-2(5) "agent" means a person, including a factor, broker, commissions agent, arhatiya, delcredere agent, an auctioner or any other mercantile agent, by whatever name called, who carries on the business of supply or receipt of goods or services on behalf of another, whether disclosed or not.

2.

On analysis of the above definition of 'agent' the following different matters crop up for consideration - the definitions uses the word, 'mean's and is therefore, exhaustive, except for the 'inclusions' which are merely enumerative. The definition will be applicable to a persons who cerries on business of supply or receipt of goods or services on behalf of another whether disclosed or not:

3.

"agent" includes -
(i) a factor
(ii) a broker
(iii) a commissions agent
(iv) an arhatiya
(v) a delcredere agent
(vi) an intermediary
(vii) an auctioner
(viii) any other mercantile agent

4.

agent-means any person-
In order to be an agent it is necessary that he should be a person. Person is defined under section 2(73) of the proposed GST Act, 2016, as under-
2(73) "person" includes -
(a) An individual
(b) A Hindu undivided family
(c) A company
(d) A firm
(e) A limited liability partnership
(f) An association of persons or a body of individuals, whether incorporated or not, in India or outside India
(g) any corporation established by or under any Central, State or Provincial Act or a Government company as defined in sections 2(45) of the companies Act, 2013 (18 of 2013)
(h) any body corporate incorporated by or under the laws of a company outside India.
(i) A co-operative society registered under any law relating to cooperative societics
(j) A local authority
(k) Government
(l) Society as defined under the Society Registration Act, 1860 (21 of 1860)
(m) Trust; and
(n) Every artificial juridical person, not falling within any of the preceding sub-clauses.

5.

"person" - includes - individual
As per definition given u/s 2(5) 'agent' means a person and person includes an individual [(1962) I SCR 9 Chief Inspector of Mines v/s Karam Chand Thaper. Also see AIR 1965 MYS 227 Veerappa Shiddalingappa v/s State of Mysore.]

6.

Person - includes - HUF -
It is held that Hindu Undivided Family is neither a firm nor an association of persons. It is a seperate entity by itself. [AIR 1974 SC 454 at page 457 ITO Gorakhpur v/s Ram Prashad.] Hindu undivided family includes Jain undivided family [AIR 1972 SC 2119 at page 2124 Commissioner of Wealth Tax v/s Champa Kumar Singh.] HUF is a fleeting body, its composition changes by birth, death, marriages and divorces [AIR 1970 SC 1343 Agrwal & Co. v/s CIT.]

7.

Person - includes - a company -
As per Companies Act, 2013 (18 of 2013) section 2(20) - "Company" means a company incorporated under this Act or under any pervious company law"
The Hon'ble Rajasthan High Court held that a company necessarily implies a voluntary association of persons who under certain agreement or articles of associations bind together to form a body or assemblage of persons for the purposes of carrying on any trade or business and are as such recognized and registered as company or incorporated as such under some statute [(1961) ILR 11 Raj. 486 Kanwar Chandra Singh v/s State of Rajasthan.
An incorporated company is a legal person separate and distinct from the individual members of the company, whereas an unincorporated company has no such separate existence and is not in law distinguishable from its members. [Halsbury's Laws of England 4th ED. Vol. 7 Para I page 11.] Companies limited by shares or by guarantee must add the word 'Limited' after their name whenever used.

8.

Person-includes - a firm -
As per clause (d) of sub-section (73) of section 2 of proposed GST Act, 2016 -
"person" includes a 'firm' and firm is defined u/s  4 of the Partnership Act, 1932 as follows - "Partnership" is the relations between persons who have agreed to share the profit of a business carried on by all or any of them acting for all. Persons who have entered in to partnership with one another are called individually 'partners' and collectively a 'firm' and the name under which their business is carried on is called the firm name.
In other words it can be said that partners who have entered into partnership with one another all collectively firm [see Business Profit Tax Act, 1947 section 2(10).]
A firm is a creature of contract and its rights and liabilities depend on the terms there of, as for instance, suing and being sued, the firm is recognized as an entity. But the essence of the  concept of firm is that it is a convenient name of description of individuals entering into combinations upon a joint venture. [AIR 1963 Madras 292 Marthavanan v/s Balasubramaniam.]
The firm or the firm name is merely a compendious description of all the partners collectively. So where a suit is filed in the name of the firm, it is still a suit by all the partners, unless it is proved that all the partners had not authorized the suit. A firm may not be a legal entity, as a corporation or company, but still an existing concern, where business is done by a number of persons in partnership [AIR 1961 SC 325 Purshottam & Co. vs. Manilal & Sons.]
According to Indian Contract Act, 1872, persons who have entered in to partnership with one another are called collectively a "firm". [See Indian Contract Act, 1872 section 239.]
A partner of a firm is liable to be convicted for an offence committed by the firm if he was incharge of or was responsible to the firm for conduct of the business or if the offence was committed with his consent or convince or was attributable to any neglect on part of such partner. [(2003) IPCCR 259 Smt. Katta Sujata vs. Fertilizers and Chemicals (SC)]
[(2006) 6 Scale 578 KPG Nair vs. Jindal Menthol India Ltd., (SC)]
It is also held that persons making an agreement to carry on a money landing business and shares the profits therefrom, are partners and constitute a firm [ILR 1937 Nag. 358 - 1969 IC 855 also see AIR 1937 Nag. 134.]
If a firm allows its business to be transacted in its name by a manager or employee, it assumes responsibility for what their manager or employee does. [31 MLT 104 PC.]
So far as taxability of a legal 'firm' is concerned the Madras High Court held that, this court does not find any substance in the contention of the petitioners that an illegal partnership cannot be taxed under the Tamilnadu General Sales Tax Act. [(2005) 141 STC 236 M.V. Ganesh and another vs. CTO Mad. HC Decision dated 18.5.2004]
It has been also observed by the Hon'ble Supreme Court in the case of Bihari Lal Jaiswal [(1996) 217 ITR 746 Bihar Lal Jaiswal vs. Commissioner of Income Tax (SC)] that - "we may clarify that our holding does not mean that such an illegal partnership cannot be taxed. It is certainly bound to be taxed either as an unregistered partnership firm or an association of persons. The only question considered there in is its right to claim registration under the Income Tax Act". It has been held by the Supreme Court in above case that grant of registration can be refused to an illegally constituted partnership firm.

9.

Person - includes - Limited Liability Partnership (LLP) -
Limited Liability Partnership, shortly & commonly known, as LLP is not a new name in trade and business community. A new trend that has been observed of late is that more and more entrepreneurs have started opting for limited liability partnership (LLP).
A Limited Liability partnership is a body corporate formed and incorporated under the Limited Liability Partnership Act, 2008 (No. 6 of 2009). LLP is a legal entity separate from that of its partners. It shall have perpetual succession.
As per clause (n) of section 2 of the Limited Liability Partnership Act, 2008 -"Limited Liability Partnership" means a partnership formed and registered under this Act.
A Limited Liability Partnership (LLP) is a partnership in which some or all partners (depending on the jurisdiction) have limited liabilities. It is therefore exhibits elements of partnership and corporations. In an LLP, one partner is not responsible or liable for another partner's misconduct or negligence.

10.

Person - includes - Associations of persons - Body of individuals
As per sub-clause (f) of section 2 (73) person includes an association of persons or a body of individuals, whether incorporated or not, in India or outside India. 'Association' means to associate to join for a common purpose. It is also held that an association of persons can include minors
[(1956) 30 ITR 61 page 70 Buldana district main Cloth Importers v/s Commissioner of Income Tax. Body trustees have been held "association of individuals" [(1939) 3 ITR 139 Commissioner of Income Tax, Bombay vs. Abubakar Abdul Rehman.]

11.

Person - includes - a Corporation or a Government Company -
As per clause (g) of subsection (73) of section 2, 'person' includes any corporation established by or under any Central, State or provisional Act or a Government Company as defined in section 2(45) of the Companies Act, 2013 (18 of 2013) 'Corporation' means an 'artificial person' established for prescribing in perpetual succession, certain rights which if conferred on natural persons, would fall in process of conferred on natural persons, would fall in process of time. Corporation is a body corporate legally authorized to act as a single person. [see article 19(6)(ii) of the constitution of India.] It is held that a 'corporation' can have no legal existence out of the boundaries of the sovereignty by which it is created [AIR 1924 Cal 495 Bank of Augusta vs. Earle.] It is also held that the expression "Corporation" must means a corporation created by the legislature and not a body or society brought into existence by an act of a group of individual. [AIR 1981 SC 1395 page 1398 S.S. Dhanos vs. Delhi Municipality.]
A corporation aggregate has been defined as a corporation of individuals united into one body under a special denomination having perpetual succession under an artificial form, and vested by the policy of the law with the capacity of acting in several respects as an individual, particularly of taking and granting property, of contracting obligations and of suing and being sued, of enjoying privileges and immunities in common and of exercising a variety of political rights, more or less extensive, according to the design of its institutions, or the power conferred upon it, either at the time of its creation or at any subsequent period of its existence. [see Halsbury's Law of England, 4th Edition, Volume 9 paragraph 1204.]
A 'Government company' is also a 'person' and it is defined under sub-section (45) of section 2 of the Companies Act, 2013 as under:-
2(45).  "Government company" means any company in which not less than fifty-one percent of the paid-up share capital is held by the Central Government, or by any state Government or Governments, or partly by the Central Government and partly by one or more State Government, and includes a company which is a subsidiary company of such Government Company.

12.

Person includes - Body Corporate incorporated by foreign law -
As per section 2 (73)(h) 'person' includes any body corporate, incorporated by or under the laws of a country outside India. 'Body corporate' broadly means a corporate entity which has a legal existence. Entity means a legal personality (other than a human being) created by law. The term "body corporate" is defined under section 2(11) of the Companies Act, 2013 as under :- 2(11). "body corporate" or "corporation" includes a company incorporated outside India, but does not include-
(i) a co-operative society registered under any law relating to co-operative societies, and
(ii) any other body corporate (not being a company as defined in this Act), which the Central Government may, by notification specify is this behalf.
This includes a private company, public company, one personal company, small company, limited liability partnerships, foreign company etc.

13.

person includes - a registered cooperative society -
A Co-operative society registered under any law relating to, cooperative societies is also a 'person' for the purpose of section 2(73) of the proposed GST law, 2016.
A co-operative society is a voluntary association started with the aim of service of its members. It is a form of business where individuals belonging to the same class join their hands for the promotion of their common goals. These are generally formed by the poor people or weaker section people in the society. It reflects the desire of the poor people to stand on their own legs or own merit. The philosophy of the formation of co-operative society is "all for each and each for all"

14.

Person - includes - a local Authority -
Local authority is a body charged with the administration of local government. [see Osborn Concise Law Dictionary.] "Local authority means any body of persons for the time being invested by law with the control and administration of any matters within a specified local area. [see Cattle Tresspass Act, 1871 section 3.]
"Local Authority" is defined under section 2(62) of the proposed GST Act, 2016, as under:-
2(62) "Local authority" means

(a)

a "panchayat" as defined in clause (d) of Article 243 of the constitution.

(b)

a "Municipality" as defined in clause (e) of Article 243P of the constitution.

(c)        

a Municipal Committee, a Zilla Parishad, a District Board, and any other authority legally entitled to, or entitled to, or entrusted by the central or any State Government with the control or management of a municipal or local fund;

(d)        

a Cantonment Board as defined in section 3 of the Cantonments Act, 2006 (41 of 2006).

(e)

a Regional Council or a District Council constituted under the sixth schedule to the constitution.

(f)

a Development Board constituted under Article 371 of the constitution; or

(g)

a Regional council constituted under Article 371A of the Constitution.

Local Authority means a "Panchayat" and 'Panchayat' is defined in clause (d) of Article 243 of the Indian Constitution as under:-
243(d). "Panchayat" means an institution (by whatever name called) of self - government constituted under Article 243B, for the rural areas.
For reference Article 243B of the constitution runs as under:-
243B. Constutition of Panchayats -
(1) There shall be constituted in every State, panchyats at the village, intermediate and district levels in accordance with the provisions of this part.
(2) Notwithstanding anything in clause (1), Panchyats at the intermediate level may not be constituted in a state having a population not exceeding twenty lakhs.
'Municipality' is also a local authority and it is defined in clause (e) of Article 243P of the Constitution as under -
243P(e). "Municipality" means an institution of self government constituted under Article

234Q. For reference Article 243Q is as follows:-
243Q. Constitution of Municipalities. - (1) There shall be constituted in every state, (a) a Nagar Panchayat (by whatever name called) for transitional area, that is to say, an area in transition from a rural area to an urban area;
(b) a Municipal Council for a smaller urban area; and
(c) a Municipal Corporation for a larger urban area, in accordance with the provisions of this part.
Provided that a Municipality under this clause may not be constituted in such urban area or part there of as the Governor may, having regard to the size of the area and the municipal services being provided or proposed to be provided by an industrial establishment in that area and such other factors as he may deem fit, by public notifications specify to be an industrial township.
(2) In this Article, "a transitional area", "a smaller urban area" or "a larger urban area" means such area as the Governer may, having regard to the populations of the area, the density of the population therein, the revenue generated for local administration, the percentage of employment in non-agricultural activities, the economic importance or such other factors as he may deem fit, specify by public notification for the purposes, of this part.
'Municipal Committee' a 'Zilla Parishad' and a 'District Board' is also Local Authority.
A Cantonment Board as defined in section 3 of the Cantonments Act, 2006 is also a Local Authority.
A Regional Council or a District Council constituted under the sixth schedule to the Constitution is also a Local Authority.
A Development Board constituted under Article 371 of the constitution or a regional council constituted under article 371A of the constitution is also a local authority.
For reference it is mentioned that article 371 relates to the, "special provision with respect to the states of Maharashtra and Gujarat and article 371 pertains to special provision with respect to the state of Nagaland.

15.

Person - includes Government -
'Government" is defined under section 2(50) of the proposed GST Act as under-
2(50) "Government" means Central Government and its departments, a State Government and its departments and a union territory and its departments, but shall not include any entity, whether created by a statute or otherwise, the accounts of which are not required to be kept in accordance with Article 150 of the Constitution or the rules made there under.
An entity, which is created by a statute or otherwise, and the accounts of which are not required to be kept in accordance with Article 150 of the Constitution or the rules made there under, has been excluded from the, above definition of the Government.  Entity means a legal entity (other than a natural person) which is created by law.
Article 150 of the Constitution relates with the provisions of accounts to be maintained by the Union and the States.

16.

Person includes - a society -
As per sub-clause (l) of subsection (73) of section 2 of the proposed GST Act, person includes a society which is defined under the Societies Registration Act, 1860. This is an act for the registration of literary, scientific and charitable societies. Society formed by memorandum of association and registration, any seven or more persons associated for an literary, scientific, or charitable purpose, or for any such purpose as is described in section 20 of this Act, may, by subscribing their names to a memorandum of associations, and filing the same with Registrar of Joint Stock Companies form themselves into a society. 
As per section 20 of the Societies Registration Act the following Societies may be registered under the Act - Chartiable societies, Societies established for the promotion of science, literature, or the fine arts, for instruction, the diffusions of useful knowledge the diffusions of political education, the foundation or maintenance of libraries or reading rooms for general use among the members or open to the public or public museums and galleries of painting and other works or art, collections of natural history, mechanical and philosophical inventions, instruments, or designs.

17.

Person - includes - a Trust -
A 'Trust' is a relationship whereby property is held by one party for the benefit of another. A trust is created by a settlor, who transfer property to a trustee. The trustee holds that property for the trust's beneficiaries.

18.

Person - includes - artificial juridical person - 
A juridical person is different than a natural person i.e. human being and created by law and recognized as a legal entity having distinct identity, duties and rights. Also called artificial person, juristic person or legal person.
A person who has legal entity and recognized by law as a subject of rights and duties is a juridical person.

19.

Agent includes a factor -
A factor is a mercantile agent who, in the ordinary course of business, sells or disposes of goods, the possession or control over which is entrusted to him by its Principal when in possession with the consent of the owner any sale, pledge or other disposition of goods made by him, when acting in the ordinary course of business, is valid as if he was expressly authorized by the owner to make the same [(1954) 5 STC 208 (Nag.) C.P. Coal Trading & Distributing Co. vs. CST.]
As per Indian Contract Act, 1872, A factor is a mercantile agent who in ordinary course of business is entrusted with the possession of goods to sell them. He has a lien on the goods. [Please see section (7) of Indian Contract Act, 1872.]
In other words it can be said that a factor is a mercantile agent who, in the customary course of his business as such agent, is entrusted with the possession or control of goods, wares or merchandise for sale on commission.

20.

Agent includes Broker-
A Broker is a mercantile agent who in the ordinary course of his business is employed to make contracts for the purchase or sale of property or goods of which he is not entrusted with the possession or documents of tile [see Halsbury's Laws of England 4th Edition Vol. I para 712 page 424.]
The Hon'ble Andhra Pradesh High Court held that, a broker is an agent whose ordinary course of business is to negotiate and make contracts for the sale and purchase of goods and other property, of which he is not entrusted with possession or control [AIR 1961 AP 408 Alapati Rama Murti vs. Ramanujan.]
In other words we can say that a broker is a middle man or agent who, for a commission on the value of transaction, negotiates for others the purchase or sales of stocks, bonds, commodities, or property of any kind, or who attendes to the doing of something for another.

21.

Agent - includes - Commission agent -
means one who sells or buys goods for another and receives by way of remuneration a commission or percentage upon the amount involved in each transaction. Commission agent is also known as arhatia.

22.

Agent - includes - Arhatia -
In India, there is a well know class of Commissions Agents i.e. pakka arhatia. The main features of a pakka arhatia is that he acts as a prinicipal in relation both to his constituent as well as to the opposite party with  whom he deals on the instruction of his constituent.
The hon'ble M.P. High Court held that the position of a pakka arhatiya is analogous to a delcredere agent [(1973) 31 STC 64 page 75 Pench Vally Coal Company Limited vs. State of MP (HC)
"Kaccha arhatiya" - usually denotes a person who merely brings together the buyer and the seller charging his commission, who has no dominion or control over the goods, unlike a pacca arhatiya who deals as a principal in relation to both his Constituent and the third party [(1981) 47 STC 80 page 84 CST vs. Bishmaber Singh Latyal Ram (SC)]
'Kaccha Arhatiya' is usually denoted as a person who merely brings the buyer and the seller together, charges his commission and who has no dominion or control over the goods unlike a pacca arhatiya who deals as a principal in relation to his constituent and the third party [1981 UPTC 134 Commissioner of Sales Tax vs. Bishmbhar Singh Layag Ram (SC) or see (1981) 47 STC 80 - above.]
In the case of pacca arhatiya, the agent makes himself liable upon the contract not only to the third party but also to his constituent.

23.

Agent - includes - Del credere Agent -
the pharase 'delcredere' is borrowed from the Italian language in which its significance is equivalent to English word guarantee or warranty, [see story's Agency 28, Wharton law Lexicon] or the scots term warranties [(1914) 3 KB 1272 Thomas Garbil & Sons vs. Churchil & Sim.]
A del credere agent is one who, usually for indeminify his employer against loss arising from the failure of person with whom he contracts to carry out of their contracts [see Halsbury's Laws of England, 4th Edition, volume I, 713 page 425.]
The Hon'ble Supreme Court held that, a del credere agent is one who, in consideration (called del credere commission) undertakes that the person with whom he enters into contracts on the principal's behalf will be in a position to perform his duties, including payment of money which may become due under the contract. Strictly speaking, a del credere agent under takes to indemnify his employer against loss arising from the failure of person with whom he contracts to carry out their contracts [(1976) 37 STC page 76 Bagalkot Cement Co. vs. State of Mysore - (SC)]
A del credere agent is a mercantile agent who guarantees to his principal that third person with whom he enters into contracts on behalf of his principal shall duly pay any sums becoming due under those contracts. He is answerable to the principal for the due performance of the contracts made by him on his behalf [20 Mysore LJ 194 also see section 2(h) (iii) of the Gold (Control) Act.]
The liability of the del credere agent is a contingent pecuniary liability, not a liability to perform the contract, it is a pecuniary liability of the del credere agent [(1914) 3 KB 1272 Gabriel v/s Churchill.] He is a mere surety, liable only to his principal in case the purchaser makes default such agents, however, are more common in foreign commercial practice.

24.

Agent - includes auctioneer -
An auctioneer is a person who auctions goods belonging to any principal. An auctioneer has dominion and possession of the goods.

25.

Agent - includes - mercantile agent -
As per section 2(9) of the Indian Sale of Goods Act, 1930, a mercantile agent having in the customary course of business as such agents authority either to sell goods, or to consign goods for the purpose of sale, or to buy goods or to raise money on the security of goods.

26.

Who carries on business - meaning of -
The phrase "carries on business' is in itself one of varying import according as it is construed with an implied addition, so as to make it mean the whole business, any part of the business or that part of the business which may properly be supposed to have been contemplated [AIR 1954 Madras 892 PK Kesavan Nair vs. Babu Naidu.] Business connotes some real, substantial and systematic or organized course of activity or canduct with a set purpose [AIR 1955 SC 176 Narain swadeshi Mills vs. Ladualal Jain.] Now the concept of business is much wider, any transaction which is in connection with, or incidental or ancillary to such trade, commerce, manufactures adventures, concern, has also been brought within the ambit of the word, "business". [(1989) 73 STC 260 Andhra Pradesh (P) Ltd. vs. State of A.P.]
To sum up, in totality, it can be said that an "agent" is a person that may be a natural persons (human being) or artificial juridical person or a HUF, or a company, a firm, a limited liability partnership (Popularly known as LLP), an association of person or a body of individuals, a corporation, a government company, a body corporate incorporate under a foreign law, cooperative society, a local authority, government, a society, trust and includes a factor, broker, commission agent, arhatia, del credere agent, an auctioneer, merantile agent, by whatever name called, who carries on the business of supply or receipt of goods or services on behalf of another, whether disclosed or not.