If a Commission agent booking airlines ticket for us, gives us an invoice in which he mentioned the following amounts-
1) Rs 18,00,000 plus tax @ 5% towards ticket and
2) 10,000 plus tax @ 18% towards his commission Income.
Subsequently The airlines company sent us the bill of Rs 16,00,000 plus tax @ 5%.
what should be the accounting entry in this case and whether the ITC on 2,00,000 shall be available to us.
Thanx in advance
CAclubindia
