Service tax applicability on commission paid abroad, Service Tax

[Jatinder Maan]

please confirm if service tax is applicable on commisions paid to parties whoes office are not in in India.

Posts / Replies

[Mukesh Kumar]

Yes, it is treated as Import of Service. But as per new scheme of service tax, if the same is used for export of service, you may claim exemption directly. See notification no. 18/2009