2018 (11) TMI 337

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... 1. The Applicant stated to be, a provider of security services to the Bank, seeks a Ruling on chargeability of GST on the Toll Taxes reimbursed by its clients or the ability to claim it as a deduction under Rule 33 from the value of supply, being expenditure incurred as a pure agent under the CGST/WBGST Acts, 2017 (hereinafter referred to as the "the said GST Act"). Advance Ruling is admissible....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....g contained in the provisions of this Chapter, the expenditure or costs incurred by a supplier as a pure agent of the recipient of supply shall be excluded from the value of supply, if all the following conditions are satisfied, namely,- (i) the supplier acts as a pure agent of the recipient of the supply, when he makes the payment to the third party on authorization by such recipient; (ii) the ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....(c) does not use for his own interest such goods or services so procured; and (d) receives only the actual amount incurred to procure such goods or services in addition to the amount received for supply he provides on his own account. The above Rule provides an example by way of illustration. Corporate services firm A is engaged to handle the legal work pertaining to incorporation of Company B. ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ion that toll and parking charges will be paid on the actual amount. But the Banks do not specifically authorize the Applicant as a 'pure agent' or acknowledge payment of the toll charges as their own liability. The Applicant admits in the Application about owning the vehicles. The toll is charged for providing the service by way of access to a road or bridge (SAC 9967). The Applicant, being the ....