Example: - 15

ABC Company appointed X an agent for procuring an order for purchase. Agent procures order from B for Rs. 1000. Company supplies goods to customer B and charge only 900 Rs. and instructed him to pay to the agent amount of Rs 100. What will be the transaction value for the purpose of GST?

Ans. Payment made by B to X Rs. 100 is in connection with the supply of goods and incidental expense to the supply. Therefore, will be considered as a part of transaction value for the purpose of calculation of GST as per Section 15 of CGST Act is Rs. 1000.