Chapter XVI (Sections 85-94) of the Central Goods and Services Tax (CGST) Act, 2017 deals with provisions related to Liability to Pay in Certain Cases. Section 86 of Central Goods and Services Tax Act, 2017 (12 of 2017) provides for Liability of agent and principal under CGST Act 2017.
Recently, we have discussed in detail section 85 (i.e. Liability in case of transfer of business) of CGST Act 2017. Today, we learn the provisions of section 86 of the CGST Act 2017. Complete Details of CGST Section 86 – Liability of agent and principal. You may CLICK HERE to download list of all sections of CGST Act 2017 in PDF format.
Notes on Section 86 of CGST Act 2017
Section 86 of CGST Act 2017 shall come into force on 01.07.2017 vide Notification No. 9/2017 – Central Tax, G.S.R. 658(E), dated 28.06.2017. In this note, you will learn detail of the provisions of section 86 of CGST Act 2017 read with Central GST Rules 2017.
Where an agent supplies or receives any taxable goods on behalf of his principal, such agent and his principal shall, jointly and severally, be liable to pay the tax payable on such goods under this Act.