Most insurance companies make payment of brokerage to insurance brokers through their local offices directly. However, there are certain insurers who consolidate payments (to be made to a particular insurance broker who has an all-India presence) in one nodal office and make payment to the broker's corporate office.

In such an instance, how the does the broker raise the invoice and on which office of the insurance company? Should the broker raise the invoice on the nodal office of the insurance company only? If the broker is supposed to raise separate invoices for each location of the insurance company (which issues insurance policies), then how would insurance company claim the Input Tax Credit - practical issues?

Should brokers account for the brokerage income on the basis of the premium register generated by the insurance company only to avoid Input Tax Credit reconciliation issues?