Commission by way of selling goods in canada

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

14 May 2016 Dear Experts,
One of client individual receiving
Commission from his indian clients
By way of selling goods in canada
Plz confirm does my client liable to
pay ST on this said service rendered out of india
if yes how much also suggest the Notification for the same,

Regard
Atul gautam

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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14 May 2016 Not liable for service tax.

Karan Chandna

Karan Chandna (Expert)
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15 May 2016 Not liable to Service tax, but yes when both service provider and receiver are in India, Rule 8 of Place of provision of service rules may get applied and become Liable. Agreement need to drafted accordingly..

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Querist : Anonymous

Querist : Anonymous (Querist)

17 May 2016 Sir.. both the service provider and service
receiver are from india but service provider
Working as commission agent because
He is selling goods in canada however
Service provider will receive his commission
from service seceiver in india also in INR..
Plz guide me weather liable to ST or not

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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17 May 2016 If the location of the service provider is in India service tax payable. Service tax not applicable if he goes to Canada and sells the goods there.

Querist : Anonymous

Querist : Anonymous (Querist)

18 May 2016 Sir.. some time he goes canada to sell the
Goods but not for every consignment...

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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19 May 2016 Then service tax applicable being service provided in India.

Querist : Anonymous

Querist : Anonymous (Querist)

23 May 2016 Sir... indian commission agent goes canada
To finalized the deal with canadian customer,
And in another case commission agent
Does not goes canada to finalized the deal
however has has finalized the deal having
Disucussion over phone & mail with canadian customer,

After cleared both the consignment supplier has paid commission
to commission Agent In INR also both
Supplier and commissiom agent are indian,

Pls tell me weather ST will be payable on
Both consignment's commission..

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CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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23 May 2016 No service tax applicable when the agent goes to Canada and finalize the deal.