TMI BlogCommission Received from Foreign Company Taxable under GST ActX X X X Extracts X X X X X X X X Extracts X X X X ..... Respected Member. Good Afternoon! I have received commission from Exedia.com Booking .com both company are foreign. Now my question is.. How to pay GST (IGST) on that commission. You aware they have not paid to us GST. Suppose I received ₹ 10000 Commission received from them (without GST). 1. Can I pay IGST @18% from my pocket (10000* @18%=1800). Or 2. exclude 18% from this commissi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on amount and paid Govt (8475*.@18%=1525). Can I obtain RCM on this case. (First I pay then claim input (Reverse Charge). Kindly advise to me on urgent basis. Thanks Regards, Harendra Singh - Reply By Rajagopalan Ranganathan - The Reply = Sir, Please indicate for what purpose you are receiving commission from a foreign company? What is the nature of service provided by you? - Reply By ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Harendra Singh - The Reply = Dear Sir, I am a travel agent I have booked hotels from their online portals for my customers. In respect they have paid me commission direct in my account. - Reply By Himansu Sekhar - The Reply = You acted as an intermediary. Tax is payable om 1000. It will be treated as cum tax value. - Reply By Alkesh Jani - The Reply = Sir, In my point of view, the amoun ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t received by you is inclusive of Tax, therefore, Rule 35 of CGST Act , is applicable and you may pay tax as per formula given i.e. Tax amount = (Value inclusive of taxes X tax rate in % of IGST or, as the case may be, CGST, SGST or UTGST) (100+ sum of tax rates, as applicable, in %) Thanks - Reply By Himansu Sekhar - The Reply = I make a correction. It will not be treated as cum tax v ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... alue. It is available as itc. Under such circumstances there is need to collect the tax. The benefit of paying the tax is available as itc. You are not a service provider - Reply By KASTURI SETHI - The Reply = I agree with the reply at serial no.5 dated 1.11.19 above. - Commission Received from Foreign Company Taxable under GST Act - Query Started By: - Harendra Singh Dated:- 30-10-2019 Goods ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and Services Tax - GST - Got 6 Replies - GST - Discussion Forum - Knowledge Sharing, reply post by an expert, personal opinion Tax Management India - taxmanagementindia - taxmanagement - taxmanagementindia.com - TMI - TaxTMI - TMITax ..... X X X X Extracts X X X X X X X X Extracts X X X X
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