GST Taxability
This query is : Resolved
03 July 2026
I was awarded a sanitation tender by the Municipal Corporation.
This supply is exempt from GST.
I assigned this tender to my friend.
At the end of the month, I will submit an invoice to the Municipal Corporation for the exempt supply
On the other hand, my friend issued an invoice in the name of my firm for sanitation services.
So, will my friend charge GST on the invoice or not?
I was awarded a sanitation tender by the Municipal Corporation.
This supply is exempt from GST.
I assigned this tender to my friend.
At the end of the month, I will submit an invoice to the Municipal Corporation for the exempt supply
On the other hand, my friend issued an invoice in the name of my firm for sanitation services.
So, will my friend charge GST on the invoice or not?
03 July 2026
Whether your friend must charge GST depends on the nature of the service provided to your firm. If the service involves the supply of goods (making it a "works contract"), it is likely taxable, even if your own contract with the Municipal Corporation is exempt. If it is a "pure service," it may potentially be exempt, but this requires a careful legal assessment of the contract terms and relevant notifications. You should consult a tax professional to review your specific agreement to ensure compliance.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Depreciation of fixed assets- coop housing society in mumbai
- Reopen of assessment proceeding
- TDS on Consultancy- Non DTAA
- Management System (IMS)
- Rental income gst and it purpose
- Experts need help
- COMMERCIAL INVOICE FOR MATERIAL AND FREIGHT
- Gift Received from nonblood relative
- Tax Audit u/s 44AB for Transport Business A proprietorship is engaged in transportation business and
- EXPORT BILL UNDER LUT FREIGHT CHARGE INCLUED IN INVOICE IT LIABLE TO TAX
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- STATUTORY AUDIT OF A SMALL PRIVATE COMPANY INCORPORATED ON 28.03.2025
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
- How to pay remaining amount of TDS after due date?
- Resigning a auditor from the company for misconduct
- RCM @ 5% on Hamali charges, Transport Charges, Unloading charges we take ITC or not
- CALCULATION OF DEFFERED TAX - OP BL IS DTL & CURRET IT DTA
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
