Overseas Commission Agent is covered within the definition of the term intermediary' as provided under section 2(13) of the IGST Act, 2017. Services received by applicant from the Overseas Commission Agent do not fall within the meaning of the term 'import of services' as provided under section 2(11) of the IGST Act, 2017. The applicant is not required to pay GST on RCM basis under section 5(3) of the IGST Act, 2017 on commission paid to the Overseas Commission Agent.
Classification of service— In the present case applicant has sought advance ruling on classification and determination of the liability to pay tax on supply of services.
The applicant is seeking an advance ruling on following issues:
(a) Whether Overseas Commission Agent is covered within the definition of the term 'intermediary' as provided under section 2(13) of the IGST Act, 2017;
(b) Whether services received by applicant from the Overseas Commission Agent falls within the meaning of the term 'import of services' as provided under section 2(11) of the IGST Act, 2017;
(c) Whether the applicant is required to pay GST on RCM basis under section 5(3) of the IGST Act, 2017 on commission paid to the Overseas Commission Agent.
Held that— (i) Overseas Commission Agent is covered within the definition of the term intermediary' as provided under section 2(13) of the IGST Act, 2017;
(ii) Services received by applicant from the Overseas Commission Agent do not fall within the meaning of the term 'import of services' as provided under section 2(11) of the IGST Act, 2017;
(iii) The applicant is not required to pay GST on RCM basis under section 5(3) of the IGST Act, 2017 on commission paid to the Overseas Commission Agent.
Overseas Commission Agent is covered within the definition of the term intermediary' as provided under section 2(13) of the IGST Act, 2017. Services received by applicant from the Overseas Commission Agent do not fall within the meaning of the term 'import of services' as provided under section 2(11) of the IGST Act, 2017. The applicant is not required to pay GST on RCM basis under section 5(3) of the IGST Act, 2017 on commission paid to the Overseas Commission Agent.
Classification of service— In the present case applicant has sought advance ruling on classification and determination of the liability to pay tax on supply of services.
The applicant is seeking an advance ruling on following issues:
(a) Whether Overseas Commission Agent is covered within the definition of the term 'intermediary' as provided under section 2(13) of the IGST Act, 2017;
(b) Whether services received by applicant from the Overseas Commission Agent falls within the meaning of the term 'import of services' as provided under section 2(11) of the IGST Act, 2017;
(c) Whether the applicant is required to pay GST on RCM basis under section 5(3) of the IGST Act, 2017 on commission paid to the Overseas Commission Agent.
Held that— (i) Overseas Commission Agent is covered within the definition of the term intermediary' as provided under section 2(13) of the IGST Act, 2017;
(ii) Services received by applicant from the Overseas Commission Agent do not fall within the meaning of the term 'import of services' as provided under section 2(11) of the IGST Act, 2017;
(iii) The applicant is not required to pay GST on RCM basis under section 5(3) of the IGST Act, 2017 on commission paid to the Overseas Commission Agent.