Under Section 32 of the VAT Act 870 (2013), a supply of goods or services made by an agent for a principal is considered a supply by the principal. Yelawana Ltd, acting as an agent for Kuundive Ltd, adds a margin on the price for the distribution, but VAT is charged by the principal (Kuundive Ltd), not the agent. Yelawana Ltd earns a commission and invoices VAT inclusive to Kuundive Ltd. The agent will charge VAT to the consumer on behalf of Kuundive Ltd. There is no VAT between Kuundive Ltd and Yelawana Ltd.