COMMISSION PAID TO OVERSEAS AGENT IN US DOLLARS

[SURYAKANT MITHBAVKAR]

If commission paid to Overseas Agent in US $ whether we have to do RCM under GST Act.

AI Summary

GST Clarification: No Reverse Charge Mechanism for Overseas Agent Commissions in USD for Intermediary Services A query was raised regarding whether the Goods and Services Tax (GST) requires Reverse Charge Mechanism (RCM) for commissions paid in US dollars to an overseas agent. The response clarified that RCM is not applicable if the commission pertains to intermediary services, as the place of supply is considered to be the location of the service provider, which is outside the country.