GST on Manpower bill

[Bhaskar Rao]

Dear Sir

Whether Manpower service provider has to Charge GST on Total bill amount of salary or only on service charge amount.

Thanks and regards

Bhaskar Rao

AI Summary

GST on Manpower Services: Charge on Total Bill Including Salary, Per Section 15 CGST Act. Pure Agent Exemptions Apply. A query was raised regarding whether a manpower service provider should charge GST on the total bill amount, including salary, or only on the service charge. Responses indicated that, according to Section 15 of the CGST Act, GST should be charged on the total value of supply, which includes the salary component. Several participants agreed with this interpretation. Another query was about whether GST applies to both salary reimbursements and service charges when a debit note is issued. It was noted that if services qualify as Pure Agent Services, GST is not charged on the salary portion, only on the management fee.