Intermediary classification determines export of ITeS services under GST, affecting tax treatment for suppliers to overseas clients. Clarification explains that a supplier who provides ITeS on his own account is not an intermediary, whereas a supplier who only arranges or facilitates a client's supply by providing support services will be an intermediary. When both ITeS and facilitation services are supplied together, intermediary status depends on which service is the principal supply. Suppliers who are not intermediaries may qualify as export of services if all statutory conditions-supplier in India, recipient outside India, place of supply outside India, payment in convertible foreign exchange, and non-distinct person relationship-are satisfied.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Intermediary classification determines export of ITeS services under GST, affecting tax treatment for suppliers to overseas clients.
Clarification explains that a supplier who provides ITeS on his own account is not an intermediary, whereas a supplier who only arranges or facilitates a client's supply by providing support services will be an intermediary. When both ITeS and facilitation services are supplied together, intermediary status depends on which service is the principal supply. Suppliers who are not intermediaries may qualify as export of services if all statutory conditions-supplier in India, recipient outside India, place of supply outside India, payment in convertible foreign exchange, and non-distinct person relationship-are satisfied.
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