Obligations of Operator in respect of supplies made by actual suppliers:

Under Section 43C(1) of the MGL, the Operator is required to collect (i.e. deduct) an amount out of the consideration paid or payable to the actual supplier of goods or services in respect of supplies of goods and / or services made through such Operator. The Government, on the recommendation of the GST Council, would specify the rate for such collection (deduction). The timings for such collection/deduction are earlier of the
two events:

(i) the time of credit of any amount to the account of the actual supplier of goods or services;

(ii) the time of payment of any amount in cash or by any other mode. This provision casts an obligation on the Operator to collect an amount at the given rate out of the proceeds payable to the actual supplier of goods or services making supplies through it.

The amount so collected by the Operator is to be paid to the credit of appropriate government within 10 days after the end of the month in which amount was so collected / deducted. Further, the Operator is required to file a Statement containing all amounts collected by him for the supplies made through his Portal within 10 days of the end of the calendar month to which such statement pertains. The said statement would contain the names of the supplier(s), details of respective supplies made by them and the amount collected on their behalf. The Form and Manner of the said Statement would be prescribed in the GST Rules.

It may be noted that the Operator is broadly responsible to collect/deduct the specified percentage of amount out of the proceeds payable to the actual suppliers, pay such amount to the government and file a statement containing respective details. The time available to the Operator to deposit the collected amount on behalf of suppliers and to file the respective Statement containing the details of such collection is 10 days after the end of the month to which such collection relates. Further, the Operator is responsible to provide the information sought by the Government relating to the details of the supplies made by the actual suppliers using his Portal.