09 November 2012
If you take Gross Amount to the credit of P&L Account and debit the commission deducted by them, then Sec 40 a(i)(i) will have to be considered.But if you take only the net amount received by you to credit of P&L account, it would be appropriate.At the first instance, the query appeared simple but considering the volume of transaction it is difficult to solve this unless the Huge Business Company also agrees to adhere to the tax regulations or else to change the Agreements/Contracts between you to overcome this ambiguity.
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