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Pure Agent means a person who
(a) enters into a contractual agreement with the recipient of service to act as his pure agent to incur expenditure or costs in the course of providing taxable service;
(b) neither intends to hold nor holds any title to the goods or services so procured or provided as pure agent of the recipient of service;
(c) does not use such goods or services so procured; and
(d) receives only the actual amount incurred to procure such goods or services. (nothing extra)
PURE AGENT is a person who
Enters Agreement
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Does not hold title
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Does not use goods
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Receives only actual amount
Condition to be satisfied for expenditure or cost to be exclused
All the following conditions must be satisfied
Service provider makes payment as pure agent
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Recipient uses goods/service /procured
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Recipient liable to make payment for such goods
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Recipient authorizes service provider to make payment
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Payment made is separately indicated in the invoice
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Exact amount only is recovered and nothing extra
