Purchase via Commission agents

269 views 2 replies
1. My client is Mobile dealer and purchase mobile through e-commerce companies.
2.He make payment to e-commerce company via credit card of third person(i.e commission agents)
3.And after that he pays all the agents via bank NEFT/RTGS.

my questions are:
1.Is ITC available on this kind of transactions?
2.Is this transaction considered correct from a legal GST perspective ?
3.any section or judgement available for that?

kindly answer for my queries..
thank you
Replies (2)

 ITC Availability Input Tax Credit (ITC) is available on goods transactions, including purchases from e-commerce companies, provided certain conditions are met.

 Since your client is a mobile dealer purchasing mobiles through e-commerce companies, ITC can be claimed if:

- The e-commerce company is a GST-registered supplier. - A valid tax invoice or debit note is obtained. - The goods are received, and payment is made within 180 days.

However, the payment made via a third person's credit card may raise concerns. It's essential to ensure that the payment is properly documented and linked to the invoice to avoid any potential issues with ITC claims.

Legality from a GST Perspective From a legal GST perspective, the transaction seems to be a standard business-to-business (B2B) transaction.

However, the use of a third person's credit card for payment might require additional documentation to establish a clear link between the payment and the invoice.

To ensure compliance, it's recommended that your client: -

Obtains a valid tax invoice from the e-commerce company. - Maintains proper documentation of the payment made via

Thankyou sir..

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
Featured 24 June 2026
HEAD - AUDIT AND TAXATION

A R JADHAV AND ASSOCIATES

Mumbai

CA Inter

View Details
Company
ARTICLESHIP 09 June 2026
Article Trainee

Numbertree LLP

Mumbai

CA Inter

View Details
Company
ARTICLESHIP 20 June 2026
Articleship

RB KESHRI & CO

Mumbai

B.Com

View Details
Company
22 June 2026
Accountant

Global Image Technologies Private Limited

New Delhi

MBA

View Details
Company
10 June 2026
Senior Account Executive

JDS Advisory LLP

Ahmedabad

CA Inter

View Details
Company
19 June 2026
Accounts Executive

Getfive Advisors Pvt. Ltd.

Ahmedabad

CA Inter

View Details
Company
22 June 2026
Finance Manager- Chartered Accountant

Triveni Turbine Limited

Bengaluru

CA

View Details
Company
ARTICLESHIP 04 June 2026
Article

Rakhecha & Co.

New Delhi

CA Inter

View Details