TaxTMI 
TaxTMI 
Dear Sirs,
My client is a travel agent located in Tamilnadu. His US client needs a tour booking at UK. How should he raise a bill.
travel agent providig service to a foreigner
15 May 2018 
5 Replies 
1073 Views Asked by
Guest 
Place of supply for intermediaries can render travel agent services taxable; pure agent status may alter tax treatment.
A Tamilnadu travel agent sought guidance on invoicing and tax characterisation for arranging a UK tour for a US client with receipt of payment in foreign currencies. Respondents variously described the transaction as an export of service, raised practical invoicing questions due to foreign-currency receipts, considered the agent an intermediary whose place of supply may render the activity taxable domestically, and noted that pure-agent status could alter tax treatment, requiring a factual examination. (AI Summary)
A Tamilnadu travel agent sought guidance on invoicing and tax characterisation for arranging a UK tour for a US client with receipt of payment in foreign currencies. Respondents variously described the transaction as an export of service, raised practical invoicing questions due to foreign-currency receipts, considered the agent an intermediary whose place of supply may render the activity taxable domestically, and noted that pure-agent status could alter tax treatment, requiring a factual examination. (AI Summary)