Home › CA Final › indirecttaxlaws › Levy and Collection of Tax › Section 9(5) of the CGST Act fixes liability to …
Section 9(5) of the CGST Act fixes liability to pay tax on an electronic commerce operator (ECO) for which services?
AAll services supplied through the ECO
BOnly notified services (passenger transport via radio taxi, accommodation in hotels by unregistered persons, housekeeping)
COnly goods supplied through the ECO
DOnly services where supplier is unregistered
Answer & Solution
Correct answer: B. Only notified services (passenger transport via radio taxi, accommodation in hotels by unregistered persons, housekeeping)
1. Sec 9(5) empowers Government to notify categories of services where the ECO is deemed the supplier.
2. Notified services include passenger transport (Ola/Uber/radio taxi), accommodation by unregistered hotels, housekeeping (plumbers/carpenters via apps), and restaurant services via apps.
3. The ECO collects and pays GST on the notified service even though the underlying supplier is the actual provider.
_Source: ICAI BoS CA Final Paper 8, Ch 3 "Levy and Collection of Tax", §Sec 9(5)_
Related questions
A composition supplier under Sec 10(1):Composition taxpayers file returns:Mr. A, registered in Karnataka, supplies goods worth Rs 50,000 to his branch in Tamil NaduWhich of the following composite supplies is treated as supply of services per Schedule IIReverse charge mechanism is governed by which section of the CGST Act?Sale of building before issuance of completion certificate / first occupation is treated aRajat, a registered restaurant in Delhi (turnover Rs 80 lakh in PY), opts for composition Specified actionable claims (lottery, gambling, betting, casino, horse racing, online mone