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Gst - billing to whom?

Kalpesh Rawal (Chartered Accountant) (32 Points)

14 June 2018

Dear All,

Want to know to whom bill to raised in case of accident vehicle is serviced under Insurnace claim by service provider company.

Part payment will received from Insurance Company and and part from customer..

Please Help..

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5 Replies

Kalpesh (Chartered Accountant) (349 Points)
Replied 14 June 2018

As per my opinion, Invoice should be raised on the person to whom service has been provided which is in your case is customer.

Insurance co. merely kind of reimbursing the part amount but the ultimate service recipient is Customer.

For Eg. If spare parts are fitted in customers vehicle then bill must be raised on customer only since he is the receiver of inputs i.e. spare Parts. It will not be appropriate to raise invoice on Insurance co. because although it has provided part of the consideration, but it did'nt receive any inputs.

Other views are also welcomed.

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GST Consultant (Tax Consultant) (894 Points)
Replied 14 June 2018

Separate invoices has to be issued to both insurance company as well as to the customer for their respective share

Kalpesh Rawal (Chartered Accountant) (32 Points)
Replied 15 June 2018

I am also having same opinion but then why automobile companies are following the system of separate billing part bill to insurance company and part to customer of thier respective portion... in this all insurance company is only the party which reimbursing the customer loss.. but ultimate service is received by customer only..so i have to billed to customer only..it is not my lookout how customer will pay me.

More opinon required..