Airline company (A) will have to pay and bear the GST.
GST from commission
A) Foreign airline based in India with GST number. B) agent in India also with GST number. Airline has ticket for X amount. Agent sales ticket of Airline for X amount and gets commission from Airline for sale of ticket (some % out of X ticket amount). Now Airline is paying GST for the income from X ticket amount and giving to agent commission from sold ticket amount. Commission given from Airline to agent. Who needs to pay GST from commission Airline or agent or both parts?
Asked 6 years ago in GST
Hi
The agent shall charge 18% GST in the invoice for such services provided. The airline has to pay the GST amount and commission to the agent. The agent shall then deposit the same with the government along with his GST returns.
Agent will pay the GST on commission earned.
Hello,
The agent has to pay tax on his commission. In case he has not charged GST separately, then it is to be paid from his pocket.
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
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