SERVICE TAX ON HOTEL BOOKING COMMISSION

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naresh (Querist)

16 January 2009 In case a travel agent giving a booking to hotel and against the same hotel give some amount of commission to travel agent
for providing such booking to hotel - In that case can travel agent charge service tax on commission receivable from hotel,

please reply with support of your answer

Pooja Chopda

Pooja Chopda (Expert)

16 January 2009 Hi Naresh,

Firstly I think you question is not clear worded, I could not understand it properly. I have taken up your question suppossing that u are asking about when a travel agent will charge service tax.

As per your ques travel agent recieves commission from two places-

1 From the customer. He charges commission thru a bill & will also have to charge service tax of the commission amount.

2 He also rec comm from hotel- In this case he is not raising a bill so he cannot charge service tax.

I hope this resolves your query.

Pooja

naresh

naresh (Querist)

16 January 2009 THANKS FOR YOUR REPLY
POINT NO.2 IS MATCH WITH MY QUERY DO U HAVE ANY DOCUMENTED PROOF BEHIND THAT

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