Service tax on commisssion on export sale
This query is : Resolved
Avinav Gaurav
(Querist)
13 September 2016
Dear Sir,
We have a commission agent for selling goods out side India in Egypt,Hence we receive the service in Uttrakhand, So my query is this, That is this service is taxable if yes than plz define me the rate and in which taxable service it fall for accounting.
We have a commission agent for selling goods out side India in Egypt,Hence we receive the service in Uttrakhand, So my query is this, That is this service is taxable if yes than plz define me the rate and in which taxable service it fall for accounting.
CA R SEETHARAMAN
(Expert)
13 September 2016
No service tax payable if the agent resides outside India.
Avinav Gaurav
(Querist)
13 September 2016
Dear Sir,,
Last Nov. 15 we had a Service tax audit in which the Auditor find the ledger of Commission on Export sale on which we did not pay service tax, But he said that this is a taxable service and told us to deposit the S tax with full rate 14.00% with interest and penalty under Business Auxiliary Service so nov 16 to till date we are depositing the S tax if we have paid any commission on export sale. Plz Sir clear the matter whether did we pay wrongly or we should pay on this.
Last Nov. 15 we had a Service tax audit in which the Auditor find the ledger of Commission on Export sale on which we did not pay service tax, But he said that this is a taxable service and told us to deposit the S tax with full rate 14.00% with interest and penalty under Business Auxiliary Service so nov 16 to till date we are depositing the S tax if we have paid any commission on export sale. Plz Sir clear the matter whether did we pay wrongly or we should pay on this.
Avinav Gaurav
(Querist)
13 September 2016
Also Service receiver is an Indian company and service provider is an Egyptian
CA R SEETHARAMAN
(Expert)
13 September 2016
As service provider is Egyptian, no service tax payable on such intermediary service. You paid service tax wrongly. Claim refund on service tax paid wrongly including the interest and penalty.
Audit has given you wrong advice.
Audit has given you wrong advice.
Message likes :
1 times
Avinav Gaurav
(Querist)
13 September 2016
Thanks Sir....
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
- Late Filing Fee Waiver for Q1 Form 144 (Earlier 27Q) – Transition to Income-tax Act, 2025
- Ito add credit side of bank
- Employee secondment
- GSTR9 Annual Return
- LLP audit and disclosure
- GST ITC as per notification 12/2023- central tax
- IMS (import of goods) ITC related
- Positive Balance in RCM Liability/ITC Statement – Commercial Rent RCM – Guidance Required
- Applicability of tax on invoice
- Form 144 TDS Return Validation error
- Capital gain on commercial property and investment in residential property
- Import of Capital Machine
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Tally: Imported bank entries do not show up in manual reconciliation
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
- How to pay remaining amount of TDS after due date?
- Resigning a auditor from the company for misconduct
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
