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GST: The Narrow Relief For Intermediary Services
Scope of 'intermediary services' clarified. It's a limited relief, experts say.
22 Sep 2021, 08:41 AM IST i

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Employees wear headsets while working at a call center in Kolkata, India. (Photograph: Taylor Weidman/Bloomberg)
Back in 2018, India’s support services industry got a goods and services tax surprise. Maharashtra’s Authority for Advance Ruling ruled in the Vserv Global Pvt. case that support services to overseas clients will qualify as intermediary services.Consequently, they’d attract 18% GST. As against if they were treated as export of services which is zero rated.The AAR ruling adversely impacted the BPO, IT-ITES sector and similar businesse...

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