GST Applicable or not if we received hotel booking commission invoice from foreign travel agent

[Guest]

Dear Sir,

I am a hotelier & we provide accommodation service to the guest who is coming through foreign travel agent & travel agent paid us after deducting his commission , after that they issue commission invoice to us.

Now my query is that the GST is applicable on commission invoice which we have received from foreign travel agent or not . If applicable then CGST & SGST applicable or IGST is applicable

Thanks

R K Sharma

AI Summary

GST Not Applicable on Commission from Foreign Travel Agents; Place of Supply Outside India Exempts Service from Taxation A hotelier inquired about the applicability of GST on commission invoices received from foreign travel agents. The consensus among respondents was that GST is not applicable. The foreign travel agent acts as an intermediary, and according to the IGST Act, the place of supply for intermediary services is outside India, making the service non-taxable in India. Therefore, IGST does not need to be discharged under the reverse charge mechanism. The discussion highlighted the importance of the place of supply in determining GST liability.