pure agent

As per explanation 2 to rule 5(2) of Service Tax (Determination of Value) Rules, 2006),“pure agent” means a person who–

(a)     enters into a contractual agreement with the recipient of service to act as his pure agent to incur expenditure or costs in the course of providing  taxable service;

(b)     neither intends to hold  nor holds any title to the goods or services so procured or provided as pure agent of the recipient of service;

(c)     does not  use  such goods or services so procured; and

(d)     receives only the actual amount incurred to procure such goods or services.