COMMISSION ON SALES

[SNEHAL SHAH]

Sir,

We can sale 45% of sales through various agent and paid commission to him , on this we can paid service tax also , can we take cenvat credit on this service tax payement ?

 

Thanks ,

Sachin

AI Summary

Cenvat credit on service tax: commissions for sales promotion qualify as input services; refund or exemption options exist for foreign agents.
Service tax paid on commissions to sales agents for sales-promotion services is an input service and Cenvat credit is available; for commissions to foreign commission agents, the taxpayer may either claim refund of the service tax under the applicable refund notification or avail exemption under the relevant exemption notification.