Article 9 clarifies the tax treatment of supplies of goods and services facilitated through an agent. It establishes a critical distinction based on the agent's legal capacity. When an agent acts transparently, specifically in the name of and on behalf of a principal, the transaction is legally considered a supply made directly by the principal. Conversely, if an agent provides goods or services while acting in their own name, the supply is treated as a direct transaction by the agent. This distinction is fundamental in determining which party—the principal or the agent—is deemed the supplier for tax purposes.
Title 3 - Supply
Chapter 1 - Supply of Goods and Services
Article 9 Supply via Agent
The supply of Goods and Services through an agent acting in the name of and on behalf of a principal is considered to be a supply by the principal and for his benefit.
The supply of Goods and Services through an agent acting in his name is considered to be a direct supply by the agent and for his benefit.
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