Foreign Agency Commission - Whether Service Tax Applicable?
This query is : Resolved
12 September 2008
Hi,
I just started a trading organization representing foreign suppliers in India. The sale happens directly between the Indian buyer and the foreign supplier. Since, we facilitate the transaction we get agency commission on each sale. This commission is directly transferred from our foreign supplier to our Bank Account.
We want to know whether there is any service tax applicable for such agency commissions??
Please note, our foreign supplier transfer payment in terms of % of the sale value and hence we cannot charge any service tax to them.
Kindly clarify?
I just started a trading organization representing foreign suppliers in India. The sale happens directly between the Indian buyer and the foreign supplier. Since, we facilitate the transaction we get agency commission on each sale. This commission is directly transferred from our foreign supplier to our Bank Account.
We want to know whether there is any service tax applicable for such agency commissions??
Please note, our foreign supplier transfer payment in terms of % of the sale value and hence we cannot charge any service tax to them.
Kindly clarify?
13 September 2008
YES. SERVICE TAX IS APPLICABLE.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Manual Rectification through AO
- IT Return filed defective u/s 139 (9)
- Defective Return - Tds on advance
- Fixed Deposit Claim Relinquishment by the Nominee
- TCS ON SOFTWARE SALES
- Income Type for interest from government bonds
- TDS RATE ON RENT PAID TO NRI
- Not a CA , can we prepare balance sheet
- Tax treatment of debt mutual funds
- SHARE TRANSFER PRIVATE LIMITED COMPANY
- Issue of gst e invoice
- Gstr 9 2023-24
- Interchangeable words in accounts
- Adjusted profit/Loss in the case of LLP and Pvt. Ltd.company
- How to adjusted advances given or receipt
- Foreign vendor without PAN unable to to register due to non receipt of OTP on foreign number ?
- 133(6) DIN INVALID format error - ->WHERE TO REPLY 133(6) notice?
- Query for dubts
- GST RCM not shown in GSTR-3B
- Bill from Dispatched from issue.
Trending Online Classes
-
Landmark Judgments: Important Provisions of the EPF & ESI Act interpreted by the Honorable Supreme Court of India
Mr.Balamurugan Ranganathan15 November 2024
CAclubindia
