TMI BlogGST on Services of Business Facilitator (BF) or a Business Correspondent (BC) to Banking CompanyX X X X Extracts X X X X X X X X Extracts X X X X ..... ry, 2018 To, The Principal Chief Commissioners/ Chief Commissioners/ Principal Commissioners/ Commissioner of Central Tax (All) / The Principal Director Generals/ Director Generals (All) Madam/Sir, Subject: GST on Services of Business Facilitator (BF) or a Business Correspondent (BC) to Banking Company- reg. Representations have been received seeking clarification on following ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ohibits them from directly charging any fee to the customers for services rendered by them on behalf of the bank. On the other hand, banks (and not BCs) are permitted to collect reasonable service charges from the customers for such service in a transparent manner. The arrangements of banks with the Business Correspondents specify the requirement that the transactions are accounted for and reflect ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... exemption to services provided in relation to accounts in its rural area branch vide Sl. No. 39 of Notification No. 12/2017- Central Tax (Rate) dated 28.06.2017 be clarified. This clarification has been requested as the exemption from tax on services provided by BF/BC is dependent on the meaning of the expression accounts in its rural area branch . 3.1 It is clarified that for the purpose ..... X X X X Extracts X X X X X X X X Extracts X X X X
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