Is paypal account transfers are service taxable?

prasad (manager) (171 Points)

01 October 2011  

Dear All,

We provide software services to our overseas and Indian local clients. Ours is a software private limited company. We have following queries regarding the service tax.

1. If our clients pay us through PayPal then tell us whether this amount comes under service tax?

2.

(a) We'll pay commission to a firm, which isa parnership firm that acts as a mediator between our clients and us. We would like to know whether this commission also be under service tax? If so, how much it will be?

(b) Only one partner from this partnership firm works for us. If we pay the commission to him as a consultant then how much service tax is applicable?

Kindly provide answers question wise. Thanks in advance.

with rgds,

Prasad