Dear sir/ madam, Can I Liable to take GST Registration if my Commission Income Exceed 20,00,000 Rs... And I Even Liable when company Reimbursement was with Gst.... For e.g I have LIC commission 13,00,000 MF commission 50,000, General Insurance Commission 700000 and Post Office Commission 1,20,000 can I liable to take Registration ....? And of this commission is exempt??
Reply—
The service provided by following agents are covered under RCM (reverse charge mechanism), —
- Recovery Agent
- Insurance Agent
- Direct selling Agent
Thus, provision of reverse charge is not applicable on service provided by post office Agent.
Regarding registration under GST, since aggregate turnover is more than Rs. 20 lakhs, registration becomes mandatory as per section 22 of CGST Act.
However as per Notification no. 5/2017–Central Tax Dated June 19, 2017, the persons who are only engaged in making supplies of taxable goods or services or both, the total tax on which is liable to be paid on Reverse charge basis by the recipient of such goods or services or both under sub-section (3) of section 9 of the Act exempted from obtaining registration under GST. You cannot avail benefit of this notification because you are not exclusively engaged in making supplies of taxable goods or services or both, the total tax on which is liable to be paid on Reverse charge basis by the recipient.
Posted Date: Feb 11, 2021