Service tax on air travel agent commision

439 views 2 replies

Hello,

I am an Air travel agent, I wanted to you know what is the percentage of Service tax on my commision I received on my bookings?

For example,

I sold an ticket of Rs. 1000 /-, I get an commsion of 5% which is Rs. 50/-.

Now I have to a pay a service tax of 14.5% on my commion of Rs 50 /-(Service tax & SBC) which is Rs. 7.25 /-

Am I doing the right calculation ?

Please advise.

 

 

 

 

 

 

Replies (2)

You have to pay service tax @ 14.50 % (i.e., 14% of Service Tax - Rs. 7  and 0.50% - Rs. 0.25 for SBC Cess)

You have to pay both service tax and SBC Cess under Different head.

I THINK IT DEPENDS ON DISLOSURE OF COMMISION IN INVOICE.I HOPE THIS LINK GIVES YOU A CLEAR IDEA, PLEASE DO FOLLOW THE LINK.

https://www.charteredclub.com/service-tax-on-air-travel-agent-tour-operator/


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