Example
X an insurance agent provides services to Bajaj Alliance &
received commission of Rs. 5 lakh.
Determine who is liable to pay GST.
Answer
As per Notification No. 13/2017- Central tax (Rate) Services
provided or agreed to be provided by an insurance agent to any person carrying
on insurance business is covered in the list of reverse charge.
Thus, Bajaj Alliance is liable to pay entire GST on charges paid
i.e. Rs 5 lakh.