Case 1 Case 2 Case 3

GST of 18% is applicable GST of 18% is applicable

GST of 18% is not applicable  
 
If said parking charges are inclusive of GST   If said parking charges are inclusive of GST
  Parking charges are not inclusive of GST vendor will also be paid GST as per share
Asssume parking charge collected 100 Rs Asssume parking charge collected 100 Rs
   
  Asssume parking charge collected 100 Rs
Split of 100Rs as GST of 18% is inclusive Split of 100Rs as GST of 18% is inclusive
Actual fees collected 84.75    
Actual fees collected 84.75  
18% GST 15.25   Split of 100Rs as GST is not applicable 18% GST 15.25  
Total 100   Actual fees collected 100   Total 100  
   
Vendor will collect all money and deposite in      
Vendor will collect all money and deposite in ESCROW
ESCROW account including collected GST. PCMC will Total 100   account including collected GST. PCMC will pay vendor
pay vendor share by deducting pcmc share   share by deducting pcmc share
In this case PCMC suppose to pay all collected GST to Vendor will collect all money and deposite in ESCROW In this case PCMC suppose to only pay GST of their own
centeral government account. PCMC will pay vendor share by deducting pcmc share and handover GST of vendor share
  share
Vendor has agreed to share 20% of revenue with  
PCMC In referance with Section 243W being government entity Vendor has agreed to share 20% of revenue
Total fees collected with GST 100 GST on parking is nill. Refer Notifcation 12/2017 with PCMC
Actual Collected fees 84.75
PCMC Share 20% 16.95   Total fees collected with GST 100  
Vendor share 80% 67.8 Vendor has agreed to share 20% of revenue with PCMC
  With GST Actual GST
Total fees without GST 100 PCMC Share 20% 20 16.95 3.05
As Municipality is exempted from paying GST to
service provided As per the Notification No. 12/2017- Actual Collected fees 100 Vendor share 80% 80 67.8 12.2
Central Tax (Rate) Hence PCMC will not pay GST to PCMC Share 20% 20  
vendor whereas vendor has to pay GST on other Vendor share 80% 80
purchases where entity can not opt for reverse GST
setup   Effective share loss due to GST on 100Rs if GST
As Municipality is exumpted from paying GST to service not paid to vendor
provided aAs per the Notification No. 12/2017- Central Without
Tax (Rate) Hence PCMC will not pay GST to vendor   With GST GST Loss
whereas vendor has to pay GST on other purchases PCMC 16.95 20 3.05
where entity can not opt for reverse GST setup Vendor 67.8 80 12.2