GST rate for Business Auxiliary Service

GST tax rate on Business Auxiliary Service


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The details about GST rate changes for sale of Business Auxiliary Service are being updated here. The notification changes on exemptions for GST for sale of Business Auxiliary Service and other circulars related to GST for Business Auxiliary Service are updated in this website.

GST rate for Business Auxiliary ServiceBusiness Auxiliary Service means any service in relation to, -
(i) promotion or marketing or sale of goods produced or provided by or belonging to the client; or

(ii) promotion or marketing of service provided by the client; or

[Explanation - For the removal of doubts, it is hereby declared that for the purposes of this sub-clause, "service in relation to promotion or marketing of service provided by the client" includes any service provided in relation to promotion or marketing of games of change, organised, conducted or promoted by the client, in whatever form or by whatever name called, whether or not conducted online, including lottery, lotto, bingo;]

(iii) any customer care service provided on behalf of the client; or
(iv) procurement of goods or services, which are inputs for the client; or

[Explanation - For the removal of doubts, it is hereby declared that for the purposes of this sub-clause, "inputs" means all goods or services intended for use by the client;]

(v) production or processing of goods for, or on behalf of the client; or

(vi) provision of service on behalf of the client; or

(vii) a service incidental or auxiliary to any activity specified in sub-clauses (i) to (vi), such as billing, issue or collection or recovery of cheques, payments, maintenance of accounts and remittance, inventory management, evaluation or development of prospective customer or vendor, public relation services, management or supervision, and includes services as a commission agent, but does not include any activity that amounts to "manufacture" of excisable goods.


Goods and Service Tax (GST) rate tariff in India is designed in 6 categories of goods and services. Four main GST rate slabs framed with Essential goods and services, Standard goods and services and luxury goods and services with 5%, 12%, 18% and 28% respectively. Commonly used Goods and Services at 5%, Standard Goods and Services fall under 1st slab at 12%, Standard Goods and Services fall under 2nd Slab at 18% and Special category of Goods and Services including luxury - 28%. The most essential goods and services attract nil rate of GST under Exempted Categories. Luxury goods and services and certain specific goods and services attract additional cess than 28% GST.

 

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Comments


P Syam Sunder: Dear Sir, We are authorized representatives for many overseas manufacturers and promote and sell their products to various industries in India. We get our commission in foreign currency as per contract (fixed rate), from 2014 we have come under service tax and we pay 15% at present . Our principals won't cover this cost and we have to pay from our side. Please confirm under new GST , which slab we fall. best regards sym

Prakash: Dear Sir, We are a Buying Agent for overseas Importers and we represent them and source the products for them from India. We get our commission in foreign currency as per agreement and we currently pay 15% service tax. Our Principals being foreign company dont pay the service tax and we pay the tax from the amount we receive from them. Pls advice what is our status when GST come into force and what is the tax percentage we need to pay.

Joseph: Sir, We are working as sales agents for various overseas suppliers for importing of their products in India. Our remuneration is paid after completion of shipments in foreign currency. Please advise can we pay GST on commission income received from Overseas suppliers

SK GUPTA: IS THE COMMISSION PAID TO FOREIGN AGENT BASED ABROAD AND HAVING NO ESTEBLISHMENT IN INDIA BE GST TAXED

sam: I used to pay Service Tax under the Business Auxiliary category for sale of space in newspapers. Now with GST I am not clear what is the amount of Tax I charge the client and what Tax I pay in addition to the goverment. I send advertisements from India to different parts of the globe mainly print. Can someone clarify the amount of Tax to be collected and paid to the government. Thank you

Ravi: Hi Sir, We are based in Gujarat India. And we done business Outside of india...i explain.... Means We purchase product from Dubai and sell to USA , but not IMPORT and EXPORT from /TO India. Means my Dubai supplier directly ship to my USA Customer.In Banking language called Merchant Trading. Then we are how to Calculate GST. One Example :- We buy Product from Dubai - $1000 USD We sell product to USA - $1200USD Our Profit Margin is India - $200USD. Then what is our GST Cost. Again said Dubai supplier directly ship to my USA customer...Product not come in India. Please help i am very confuse.

BALAJI: Dears, We are exporter, and we pay the agency commission to foreign person. if gst is applicable and it was paid under Reverse Credit Mechanism , it is refundable ...?

SNT: Sir, We are working as sales agents for various overseas suppliers for importing of their products in India. Our commission is paid after completion of shipments in foreign currency. Please advise whether GST is applicable for the income received.

RAJKUMAR JAIN: ears, We are exporter, and we pay the agency commission to foreign person. if gst is applicable and it was paid under Reverse Credit Mechanism , it is refundable ...?

B. K.Nandan: As per GST list I could not find the service category as BUSINESS AUXILIARY SERVICES I shall be much obliged if you send me the SAC of Business Auxiliary Service with rate of tax and accounting code on which I shall pay duty amount. Thanking you B.K.Nandan

agro trade international: Dear Sir, We are commission agent for exporting cashew nut kernels to world wide from Kerala state. Our doubt we do business through co-brokers in abroad and we cover their commission here and re-pay after full and final settlement. Sir, any GST applicable for remit foreign agency (Co-Broker) commission from India to abroad ? If yes ? how this deduct and where to remit ? Pls explain the details. Thanks / Biju (Mob: +91.98471 21515), Mail : agrocashew@gmail.com

SUNIL KUMAR BAGARIA: SUNIL KUMAR BAGARIA Says : Saturday,August 12,2017 Dear Sir, We are authorized representatives for many manufacturers and promote and sell their products to various industries in West Bengal. We get our commission as per contract (fixed rate), from 2015 we have come under service tax and we pay 15% at present.Our principals cover (50%) of this cost. Please confirm under new GST , which slab we fall. best regards SUNIL KUMAR BAGARIA

gurinder singh : sir , we work as commission agents , we deal in food grain items like wheat, paddy, maize etc. does tht attract gst ? what is the exact procedure to file return in that case thank you

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