Gst on reimbursement invoice to overseas entity for services provided in india

[manoj baby]

Dear Sir/Madam

Abc is a freight forwarder in india,renders services and raises invoices for reimbursement of expenses at cost (cha charges paid in india)to PQR overseas entity (associate co of abc based IN USA) .PQR renders services and bills to XYZ ( entity in china) for import of goods from china to sez located in Chennai in India. Is abc liable to charge gst on invoice for reimbursements raised on pqr. Wont this be treated as export as only place of supply condition is not satisfied rest all are satisfied under export definition under gst..

AI Summary

Freight Forwarder ABC Debates GST on Expense Reimbursements from Overseas Entity Due to Place of Supply Rules A freight forwarder in India, referred to as ABC, provides services and invoices PQR, an associated overseas entity in the USA, for reimbursement of expenses related to goods imported from China to an SEZ in Chennai. The discussion revolves around whether ABC should charge GST on these reimbursements, questioning if it qualifies as an export since the place of supply (PoS) condition is not met. Responses highlight that PoS is crucial for determining GST applicability, suggesting that ABC might not be able to treat these transactions as exports unless all export conditions, including PoS, are satisfied.