The applicant, acting as an aggregator for diagnostic and lab ...

Diagnostic service aggregator liable for GST on entire invoice amount; not on margins.

Case Laws     GST

November 20, 2024

The applicant, acting as an aggregator for diagnostic and lab services provided through third-party diagnostic labs, is liable to collect GST on the entire invoice amount raised on companies/insurance companies/insurance brokers, not merely on the margin. The applicable tax rate is based on the services being diagnostic services covered under healthcare services, classified under SAC 9993. The applicant does not qualify as an e-commerce operator or a clinical establishment eligible for exemption. Therefore, the applicant must collect GST on the diagnostic and lab services provided to clients. The applicant also does not fall under the definition of an "Insurance Agent" when invoicing insurance companies, and must raise invoices as per other companies. The issue of collecting Tax Collected at Source (TCS) is redundant since the applicant is not an e-commerce operator.

View Source