GST on airport levies: airlines may collect PSF and UDF as pure agents while airport operators remain GST liable. PSF and UDF are charges levied by airport operators as consideration for services to passengers and are subject to GST, with the airport operator liable to discharge GST. Airlines that collect these charges act as agents; if they satisfy the conditions of a pure agent, the amounts collected for PSF/UDF (and GST payable by the airport operator) must be separately invoiced and excluded from the value of the airline's supplies, and airlines shall not claim input tax credit on those amounts. Airport operators must remit GST on collections and may claim ITC on collection charges paid to airlines.
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.
GST on airport levies: airlines may collect PSF and UDF as pure agents while airport operators remain GST liable.
PSF and UDF are charges levied by airport operators as consideration for services to passengers and are subject to GST, with the airport operator liable to discharge GST. Airlines that collect these charges act as agents; if they satisfy the conditions of a pure agent, the amounts collected for PSF/UDF (and GST payable by the airport operator) must be separately invoiced and excluded from the value of the airline's supplies, and airlines shall not claim input tax credit on those amounts. Airport operators must remit GST on collections and may claim ITC on collection charges paid to airlines.
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