Due to the fact that accounting and tax accounting under the contract for services and commission agreements differ, you need to clearly distinguish the conditions prevailing in these treaties. Thus, under a contract for services the hotel reflects the earnings on the basis in fact, occupied rooms on the value reflected in the contract. In this case, the agent's fee is not paid. According to the agreement of the Commission (agency) hotel reflects revenues from the cost of rooms defined in the contract agent (the company) with the customer based on the report of the company. Based on this same report confirmed the amount paid by the company reward for finding customers.
The absence of a report, usually is a major challenge to the hotel confirmation sum of agency fees, while its presence is expressly provided for in Article 999 of the Civil Code. According to this article, the performance of the commission shall order submit a report to the principal and tell him everything received under the contract of commission. Committent having objections to the report, must report them to the commission within 30 days of receipt of the report if the agreement between the parties provides otherwise. Otherwise, the report in the absence of an agreement shall be deemed adopted. Thus, if the contract is not clearly delineated conditions relating to the service contract and commission agreement, the Hotel is always a risk of non-recognition by tax authorities as an expense, reducing taxable income, the amounts of commission.