Transaction between such principal and agent

[Guest]

Dear All Expert,

Please guide,

Meaning and scope of “supply” Comparative view under revised model GST law vis-à-vis earlier model GST law. Which published on 26^th November 2016.

earlier model GST law term “supply” is contained in sub section (2)(a) of section 3 of the model CGST/SGST act,2016 as above, Where a person acting as an agent who, for an agreed commission or brokerage, either supplies or receives any goods and/or services on behalf of any principal, the transaction between such principal and agent shall be deemed to be a supply

Is now Omitted from the definition of “supply”

Then the transaction with principal & agent is out of the GST

AI Summary

Revised GST Law: Principal-Agent Transactions Still Taxable Under Section 128 Despite Exclusion from 'Supply' Definition. An individual inquired about the definition and scope of 'supply' under the revised model GST law compared to the earlier version, specifically regarding transactions between a principal and an agent. The earlier model included such transactions as 'supply,' but this has been omitted in the revised version. A respondent clarified that under Section 128, both the agent and principal are jointly liable for tax on taxable goods supplied or received by the agent on behalf of the principal, indicating that these transactions are still subject to GST.