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Income from a foreign transaction

Tax queries 431 views 1 replies

Hello,

I got a simple query. I am acting as a commission agent in international trading. The buyer is in Korea and the seller is in South Africa. I'm the intermediary. The seller has fixed my compensation and the buyer has signed the ncnda so that my commission is secured. The deal is about to take place and I'm sitting in India. Ncnda has my account number. I hold that account in my bank in India. The money would get transferred to my account as soon as the ncnda is endorsed by the banks after the deal. 

The transaction's happening in USD, and I'm paid in USD. I'm I still liable to pay the tax? The among is USD 20000.

Please let me know.

thanks.

Replies (1)

If you are a tax resident of india and the documentation pertaining to the transaction are in place I believe it will be taxed under income from business or profession. But, still you can wait for some more clarifications / replies from other members.


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