TMI BlogService tax on Business Auxillary Service.X X X X Extracts X X X X X X X X Extracts X X X X ..... Dear Sir, A party X is providing service to another party B by selling the goods of B. Party X receives commission from B and pays Service tax on the commission received under the category of ' Business Auxillary Service . Now subsequently, it is found that party B also provides transportation service to party B for bringing goods from the go-down of B to the go-down of X.The party X also r ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eceives commission against carriage contract.However, no service tax is paid by X against commission received on carriage contract. Does the portion of the commission received against carriage contract falls under reverse charge mechanism. The party X is registered under BAS only. - Reply By Ganeshan Kalyani - The Reply = Sri Manash ji,It seems that X is in order to the goods delivered at his god ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... own fron B's place arranges for freight. He does not provide GTA service to B but in fact he would be getting reimbursed from B (assumption). In addition to it X also gets some commission for doing so. I assume that the freight arranged so integrated to the main service of selling goods of B and hence the commission paid. Therefore in my view the commission received toward freight should also be ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... added to Business Auxiliary Service and should be offered for tax. This is my view. Thanks. - Reply By KASTURI SETHI - The Reply = SH. MANASH MUKHERJEE JI, Service Tax is required to be paid on the amount of freight. Agreed with Sh.Ganeshan Kalyani, Sir. - Reply By Ganeshan Kalyani ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... - The Reply = Thanks Sri Kasturi Sir for validating my views. Thanks. - Service tax on Business Auxillary Service. - Query Started By: - MANASH MUKHERJEE Dated:- 23-2-2016 Service Tax - Got 3 Replies - Service Tax - Discussion Forum - Knowledge Sharing, reply post by an expert, personal opinion Tax Management India - taxmanagementindia - taxmanagement - taxmanagementindia.com - TMI - TaxTMI - T ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... MITax ..... X X X X Extracts X X X X X X X X Extracts X X X X
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