Cenvat Credit on Sales Commission Agent

[P Ovhal]

Dear Expert,

We are an manufacturer & Exporter of Ex'bl. goods. can we avail credit on Sales Commission paid to the foreign agent towards sales order processing by him.

Please suggest

AI Summary

Clarification on Cenvat Credit eligibility for sales commission paid to foreign agents and refund process under reverse charge. A manufacturer and exporter inquired about availing Cenvat Credit on sales commission paid to a foreign agent for sales order processing. One expert suggested seeking a refund, while another mentioned an exemption for exporters up to 10 percent of FOB value. If the commission exceeds this, payment under reverse charge is necessary, followed by a refund claim.