Invoice requirements

Hi,

Do you collect sale proceeds from customers or you are just facilitating suppliers for sale of their products?.

On what basis you are saying it is export of services?

Thanks

Dear Sir,

As per Place of Supply rules under the GST Act:

1. If place of service(supply) is outside India and the address is known to the service provider then the same shall be considered as export of service.

2. If place of service(supply) is outside India and the address is not know to the service provider then the same shall be considered as services provided in India.

It is pertinent to note that in case of export of services GST is not applicable, but only if you prove that you fall under the first category,

If you fall under the second category, GST is applicable @ 18% as the services shall be deemed to have been provided in India.

Thus it is recommended to obtain the address of the clients or of the sellers.

Else you shall be bound to pay gst on the amount so received.

And if the compliances are not done on time Interest and penalty shall be applicable on the same.

Hope your queries are resolved!

Dear Sir,

- The nature of service provided by you falls into the category of Intermediary and for Intermediary the place of business is location of the service provider therefore you are liable to pay GST in India.

- You can treat it as inter-state supply of services i.e. export but it will be subject to litigation.

- You should raise the invoice to the seller for all commission after charging GST otherwise your reverse calculation needs to be done.

- At least generate the invoice for your record purpose and return filing.

- Obtain GST No. and start filing GST returns.

Thanks

Hi

There's a misconception here.

Your services cannot be classified as export services at all.

You provide intermediary services receiving commission income. According to GST law, for such services place of provision of service shall be the place of service provider I.e. India. So it cannot be classified as export.

You are liable to pay GST @ 18% on such commission income.

Coming to the main question,

Yes, invoicing shall be mandatory. You need to issue a tax invoice charging GST on the commission services you have provided. You will have to mention the invoice details in GST returns.

You should recover the GST from the sellers or you may do reverse calculations for the commission received.

Name would be enough. Address is not mandatory.

Dear Sir,

Hope you are doing well !

Your services are classified under the category of intermediary services as per provisions of Section 2(13) of the IGST Act, 2017.For intermediary services i.e. a broker, an agent or any other person, by whatever name called, who arranges/facilitates the supply of a service or the supply of goods, between two or more persons, place of supply is -Location of the service provider i.e. India in your case.So it won't be treated as export of services.

You will have to pay GST @ 18% on such commission income.

Thanks & Regards,

Payal Chhajed

Dear Sir,

1. Yes, it is mandatory to make invoices.

2.You will have to raise the invoice to the seller for all commission after charging GST or you may do reverse calculations for the commission received.

3. Just Seller Personal or Company name is enough.

Thanks & Regards,

Payal Chhajed

Hi

Being a commission based on percentage of sales, your services are classified as intermediary services under GST.

# It is not export of services

# GST is applicable@ 18%

You need to register under GST and start issuing tax invoice for commission and charging 18% GST accordingly.

For invoicing, name of the seller would be enough.

Sellers name will be sufficient

Dear Sir,

It is not considered as export of services. Since it is a commission based on percentage of sales, will be classified as intermediary services under GST. GST will be applicable @ 18%.

For invoicing, name of the seller would be enough. Address is not mandatory.

Hi,

- In case of google adsense, publisher is not intermediary. He is the supplier of the advertising services which is the main source of income for him and he is sharing the revenue with the google.

- In case of affiliate marketing, affiliate is acting as an intermediary facilitating the customer and the merchant.

Thanks

Dear Sir,

Hope you are doing well !

The main reason behind that your services are classified under intermediary services as it is a commission based on percentage of sales and Google Adsense is the supplier of advertisement services i.e main source of income which is not classified under intermediary services .

Thanks & Regards,

Payal Chhajed

The services you provide are intermediary whereas services of googles adsense is not intermediary in nature. This is the prime difference and hence the different treatment.

Hi

You are earning a specified percentage of product sale as commission. Such income earned directly relates to the sale of the products and is classified as commission income under intermediary services. Thus, it becomes a taxable income under GST.

Dear Sir,

The difference only because of nature of services provided by you and google adsense.

Your services are classified under intermediary services because it is based on percentage of sales therefor it is taxable under GST and Google Adsense services are not intermediary.

In case of export of service it is 0 rated in GST & with LUT you can raised export invoice without GST but have to mention on invoice "Export of service without GST under LUT" and such sale proceeds must recd in a year in convertable Forex invoice value in forex not sufficient receipt must be in forex have to file GSTR as per law