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GST on commission on reinsurance

Shaurya Sahrawat (85 Points)

26 September 2021

Hlo sirs,

whether GST is applicable on commission income on reinsurance ceded?

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Rama chary Rachakonda (Master in Accounts & Lawyer email ID:ramachary64@gmail.com voice no:9989324294) (3293 Points)
Replied 26 September 2021

Yes, GST is to be charged on commission at rate of 18%. If a person registered under GST charges commission for transaction which is not his normal business then also GST is applicable.

Shaurya Sahrawat (85 Points)
Replied 26 September 2021

Actually sir, commission is on reinsurance ceded to other insurance companies and the same was exempted under service tax.
But now in GST, no clarification till date