Commission on insurance

Save Share

This query is : Open

Vivek (Querist)

14 August 2017 Sir

I get comission on mediclaim policies sold to clients. I am not sure if i have to pay GST on commission received. My friends told me that GST is already charged to final client and paid by company and hence u need no pay it again.
Is this correct or should i pay GST again on commission received.
Please note i have my GST number.

Ankur Singhal

Ankur Singhal (Expert)

14 August 2017 Dear

Your service is covered under reverse charge mechanism under GST law.
The insurance company has already paid GST on the commission given to you. Hence you are not required to pay gst.

Vivek

Vivek (Querist)

14 August 2017 Thanks a lot sir, Do i have to get some confirmation from them. Under which clause or notification i can claim this in return.

Ankur Singhal

Ankur Singhal (Expert)

14 August 2017 Dear
First you are not required to get registered under GST.
Second what you want to claim in return?

The person who pays the taxes can only claim the credit.

Vivek

Vivek (Querist)

14 August 2017 Thanks Sir,
But as i said i have already taken GST number. How do i report this income.Or should i just skip reporting.

Ankur Singhal

Ankur Singhal (Expert)

15 August 2017 dear tds is being deducted on your commission amount by the insurance company. hence income needs to be shown in itr

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now