Service tax applicability to agents of western union

[Guest]

whether service tax is applicable to agents 0f western union (WU), they use the brand name of WU and are commercial concerns, if yes from which date and whether these can be termed as commission agents. to avail the exemption notification benefit.

[Madhukar N Hiregange]

Actaul agreement maybe important. It appears that they could be under BAS/ BSS. Whether the brand name restriction applies to them would be known only if the way they work and how the name is used in relation to their work is seen. Commission Agents working for a consumer product compnay can also avail the 8 Lakhs exemption.

AI Summary

Debate on Service Tax for Western Union Agents: Are They Commission Agents Eligible for Tax Exemption Under BAS/BSS? A discussion on the applicability of service tax to agents of Western Union, who use the brand name and are commercial entities, raised questions about whether they qualify as commission agents for tax exemption purposes. The response suggests that the actual agreement is crucial to determine their classification under Business Auxiliary Services (BAS) or Business Support Services (BSS). The applicability of brand name restrictions depends on their operational methods and usage of the brand name. Commission agents for consumer product companies may avail of an 8 lakh exemption.