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'On intermediary services, service provider must discharge GST liability'

The supply of the intermediary service is in the taxable territory

gst, goods and services tax
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TNC Rajagopalan
Q. We import steel and supply to our customers in India. Sometimes, the customer wants to buy directly from our international supplier in US dollars. In such trade practice, we take some sales commissions from the international supplier and quote prices to the end customer. Our question is whether we will have to pay GST under reverse charge mechanism for the commission received from the international supplier in our bank account after completion of shipment. If yes, please give us the relevant provisions in law.  

The service you provide is that of an intermediary. As per 2(13) of the