# Section 9(5): Services Where ECO Pays GST
## Core Concept
Normally, the supplier of a service pays GST. However, Section 9(5) carves out specific services where the Electronic Commerce Operator (ECO) — through whose platform the service is supplied — is deemed to be the supplier and is liable to pay GST. All provisions of the Act apply to the ECO as if it were the supplier.
## Notified Services Under Section 9(5)
| # | Service | Exception (ECO NOT liable) |
|---|---|---|
| a | Passenger transport by radio-taxi, motorcab, maxicab, motorcycle, or any motor vehicle (except omnibus) | — |
| b | Passenger transport by omnibus | When supplier is a company |
| c | Accommodation services in hotels, inns, guest houses, clubs, campsites | When supplier is liable for registration u/s 22(1) |
| d | House-keeping services (plumbing, carpentering, etc.) | When supplier is liable for registration u/s 22(1) |
| e | Restaurant services | Restaurant in 'specified premises' (hotel accommodation with declared tariff > ₹7,500/unit/day) |
## Compliance Mechanics
- ECO pays GST by furnishing details in Form GSTR-3B as outward supplies.
- For Section 9(5) restaurant services, ECO does NOT:
- Collect TCS
- File Form GSTR-8
- Take a separate registration for tax on restaurant services
## Key Clarifications on Restaurant Services
1. ECO must pay GST on all restaurant services routed through it — including supplies by unregistered persons.
2. Restaurant turnover is added to the supplier's aggregate turnover, NOT the ECO's.
3. Such services are not inward supplies of the ECO (so no RCM on the ECO side).
4. No proportionate ITC reversal required by the ECO for its own platform/intermediary inputs. BUT: the entire GST liability on 9(5) restaurant services must be discharged in CASH — ITC cannot be used against this.
5. ECO must raise the invoice for restaurant services supplied through it.
6. When an order contains both restaurant service AND other goods/services, ECO raises a separate bill for restaurant service; the supplier of other goods/services bills those separately.
## Who Actually Pays Tax (Location-Based Rules)
| ECO Location | Person Liable |
|---|---|
| In taxable territory (TT) | ECO itself |
| No physical presence in TT, but has a representative | Person representing the ECO |
| Neither presence nor representative | Person appointed by ECO to pay tax |
## Supplies Through ECO NOT Notified Under 9(5)
- GST is paid by the actual supplier
- ECO deposits TCS u/s 52