Gst for third party payroll agencies

hariwansh (manager) (31 Points)

27 February 2019  

Dear All, 

 

Kindly help me in understanding the below.

1. We are taking employment services from one of such agency who is in business of providing manpower for at place of the client. 

The agency has proposed to put GST on entire bill ( cost of employment plus service charge ) 

Our argument is that The agency can be a Pure Agent for such services and therefore he can take the cost of employment as reimbursement and service charges extra. 

If that is doable under GST , Kindly revert with your views with valid rules under GST for our understanding.