CA NeWs Beta*: No GST on e-commerce operator for manpower services rendered by drivers through its platform: AAR

Search This Site

Friday, January 17, 2020

No GST on e-commerce operator for manpower services rendered by drivers through its platform: AAR

No GST on e-commerce operator for manpower services rendered by drivers through its platform: AAR

[Humble Mobile Solutions (P.) Ltd., In re [2019] 110 taxmann.com 234 (AAR - Karnataka)]

The applicant operates electronic platform service called 'DriveU' which provides drivers on demand to customers who wish to obtain the services of a driver. The applicant has sought an Advance Ruling
to determine whether it is liable to pay GST for services rendered by drivers through e-commerce platform operated by it?

The Authority for Advance Rulings observed that drivers are only listed on applicant's portal and are providing services on principal-to- principal basis for which consideration is either received directly from customers or indirectly through applicant. In this case, drivers are not rendering the services in their vehicles but are driving the vehicles belonging to the customers and, hence, are providing manpower services 'driving a motor vehicle'. The Authority for Advance Rulings held that the applicant is not liable to pay GST for supply of services by drivers through e-commerce platform operated by it.

No comments:

Post a Comment

Related Posts Plugin for WordPress, Blogger...
For mobile version of this site click here


News Archive

Recommended Post Slide Out For Blogger