GST registration - Interstate billing.

I am a commission agent based in Kerala. I bill a company in Mumbai, Maharashtra for my services. My annual turnover is less than 7 lakhs. I presently bill them on GST basis.

My question is do I require to bill them on GST basis as I fall below the 20 lakhs turnover mark. Should I surrender the GST registration and move to bill them without GST billing.

Regards
Amrish.
Replies (3)
Quick Summary
This discussion clarifies GST registration requirements for commission agents operating interstate. A Kerala-based agent billing a Mumbai company with an annual turnover under 7 lakhs questioned the necessity of GST billing. While agents typically require mandatory GST registration regardless of turnover, the consensus here is that if the agent is not making a 'supply' on behalf of the principal and is solely receiving commission, they may not fall under the mandatory registration criteria. The agent might be able to surrender their GST registration if their total turnover remains below the 20 lakh threshold.

For Agent's GST registration is compulsory irrespective of the Turnover, if you are making taxable supply on behalf of principal , as per CGST act 2017 .
Sir I am a sub agent.

This is what my cousin whom I bill said

You are not making supply

You are not invoicing customer for value of goods

You are only getting commission or brokerage
Dear Amrish

In term of Section 24 of CGST Act , the Agent is required to obtain registration mandatory irrespective of Turnover .
But as per your query & R/w Circular 57/31/2018 GST you do not cover under the definition of agent .
hence can surrender GSTN & can supply your service without GSTN till your aggregate turnover exceeds 20 lac as provided in section 22 of CGST Act

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