• GST on commission received from abroad after 13 oct 2017 notification

Hello,

I have a sole proprietorship company and receive commission as agent of foreign company. Here is how it work:

-	A foreign company, which does not have any entity in India, let’s call it F, appoints me as an agent.
-	I visit companies in India who are interested in the products of company F. 
-	 et’s say company A wants to buy product/services from company F. 
-	Company A will place order directly with company F and company F will ship to company A. 
-	Company F will send me commission to my bank account. 

Questions Part 1:

-	Will I would be eligible for under the INR 20 lahks exemption slab as per 13 oct notification exempting GST for supply of services for less than 20 lacs?

Thank you,
Best Regards,
SG
Asked 7 years ago in GST

Hi SG

You are mandatorily required to get resistered under GST and charge 18% IGST on the foreign commission.

The threshold limit of Rs. 20 lakhs shall not be available.

Lakshita Bhandari
CA, Mumbai
5687 Answers
942 Consultations

Hello,

Yes, you will be elligible for the exemption limit of Rs.20 Lacs unless you have already registered yourself under the GST Act.

Trust this clarifies your query.

Feel free to call / get back in case of further clarifications.

Thanking You.

Regards,

Rohit R Sharma

BCOM, FCA, LLB, CERT. FAFP

Rohit R Sharma
CA, Mumbai
2104 Answers
95 Consultations

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