GST Applies to Full Transaction Due to Non-Compliance with Rule 33(iii) of CGST Rules 2017 on Pure Agent Criteria.

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....Levy of GST - reimbursement of expenses - pure agent - Rule 33 (iii) of the CGST Rules 2017 stipulates that the applicant must procure certain supplies from the third party, as a pure agent of the recipient of supply, which are in addition to the services he supplies on his own account. In the instant case, the applicant has not furnished any information with regard to procurement of supplies from the third party i.e. trainees. Thus the applicant is not fulfilling the required condition - the applicant does not qualify to be a pure agent and hence the GST is chargeable on the entire transaction value. - AAR....