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Discussion > Service Tax >

Commission receipts

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Manager-Accounts

[ Scorecard : 105]
Posted On 09 May 2012 at 11:37 Report Abuse

We are a  pvt limited trading company, and marketing and doing the distribution activities for a branded item.  We were paid the commission for the same and accounting the same as income in books of accounts. Pls clarify whether such commission received  attarcts service tax? is there any abetment for such commission ?

v.p.chandra sekar



Tejas Jain
Chartered Accountant

[ Scorecard : 304]
Posted On 09 May 2012 at 12:16

Yes Such an activity attracts service tax... You are supossed  to get yourself registered with service tax authority when your gross receipts exceeds Rs. 9 Lakh and start paying service tax when your gross receipt exceeds Rs. 10 Lacs




Vikas Vishwakarma
ACA

[ Scorecard : 692]
Posted On 10 May 2012 at 00:19

Yes of course...you are required to get regd under the BUSINESS AUXILIARY SERVICE CATEGORY...once u exceed the limit...

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