A customer pays Rs.100 in the website by payment gateway for its service. The 18% GST charged by website is included in that amount. Payment gateway deducts its fee 2% + 18% GST (Rs 2.36). The company receives Rs 97.64 in its bank account. The GST payable by company can be calculated following way:
1st: service value 84.75 and GST 15.25
2nd: service value 82.75 and GST 14.89
1) Which of the above GST calculation is correct? If both are wrong then please mention the correct one.
2) Can GST charged by Payment gateway on its fee be claimed under ITC by company?
Looking forward to your reply. Thank you.
CAclubindia
