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GST SAC CODE FOR NON TAXABLE VALUE IN PURE AGENT TRAVEL AGENT

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Varun

Proprietor

64 Points Posted on 16 July 2021

Complying with Rule 7 to GST Act, in case of Pure agent ( Travel Agent), GST is not taxable in case of reimbursement of expenses. However, value has been separately indicated in the Tax Invoice.

For Example Value of Booking Tickets Rs. 50000 + Commission charged by agent Say Rs. 1000 + GST 5% on Commission Rs. 50 = Total invoice Value Rs. 51050.

Which SAC code need to be used while disclosing Non taxable Value ( Rs. 50000) in HSN CODE field in RETURN GSTR 1 ?

Please help.

Replies (3)

Quick Summary

This discussion seeks guidance on the correct GST SAC code to use when reporting non-taxable reimbursements for pure agent expenses on GSTR 1. The user provides an example of a travel agent invoice, highlighting the need to differentiate between taxable commission and non-taxable booking values. The core question is how to accurately disclose the non-taxable portion in the HSN code field.

Pankaj Rawat

GST Practitioner

29904 Points Posted on 16 July 2021

In my view the SAC code will be the same for services.
It's expenditure which is incurred in capacity of Pure Agent is exempted.
Service code will be remain same but is not taxable when provided in capacity of Pure Agent.