Applicability - Foreign Commission - Refund Claim, Service Tax

[satbirsinghwahi]

regarding service tax on foreign agent commission,whether applicable from 16.06.2005 only or prior also ,as dept is asking from 09.07.2004.. Further whether this service tax can be refunded if the unit is exporting goods and not registered with excise dept. Any other way to claim refund may be guided.

Posts / Replies

[Surender Gupta]

Commission paid to foreign commission agent became taxable by inserting explanation to Section 65(105). However this provision has been challanged before the Madras High Court. Legislature has also removed this explanation by Finance Act, 2006. Therefore, you may wait and watch the development.