TaxTMI 
TaxTMI 
please confirm if service tax is applicable on commisions paid to parties whoes office are not in in India.
Service tax applicability on commission paid abroad
22 Aug 2009 
1 Reply 
1175 Views Asked by
Import of service: cross border commission payments are taxable unless exempt as used for export of service.
Commission paid to a party outside India is treated as an import of service and attracts service tax; however, where such imported service is used to provide services qualifying as export of service, an exemption can be claimed under the applicable notification (notification no. 18/2009). (AI Summary)
Commission paid to a party outside India is treated as an import of service and attracts service tax; however, where such imported service is used to provide services qualifying as export of service, an exemption can be claimed under the applicable notification (notification no. 18/2009). (AI Summary)
