Selling commission GST liability

[Muthukumar Muthunarasimhan]

Dear Experts,

As per the CGST ActSec 9(3) selling Commission paid to a person in the taxable territory who has falls below the threshold limit is to be covered under RCM ? Else exempt upto Sep 2019 as per Notification.Pls advice.

AI Summary

GST on Selling Commissions: RCM Not Applicable for Unregistered Suppliers Post-October 2017; Compulsory Registration Under Section 24(vii) A discussion on the Goods and Services Tax (GST) liability for selling commissions under the Central Goods and Services Tax (CGST) Act was held. The main query was whether selling commissions paid to individuals below the threshold limit are subject to Reverse Charge Mechanism (RCM). Responses clarified that RCM is not applicable for unregistered suppliers post-October 2017, and if the agent's commission exceeds the threshold, they must register for GST. It was noted that commission agents are subject to compulsory registration under Section 24(vii) of the CGST Act, and they must collect and remit GST on commissions received.