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Place of provision of service in case of modelling agency

Himanshu Nagpal (Practice) (76 Points)

08 July 2016

Hi Guys,

Please tell me what would be the place of provision of service in this case.

An India based modelling agency made a contract of with a US based beauty parlor for providing beauty services to their modeals, who went to US on a modealing assignment. Please quote relevant rules and notifications.

Regards,

Himanshu Nagpal

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3 Replies

urvashi (student) (23 Points)
Replied 08 July 2016

Pops rule 4 place of provosion of performance based service

urvashi (student) (23 Points)
Replied 08 July 2016

Means US this rule os subject to rule 7&8 rule 7-if service is provided also in taxable taritory then place would be that taxable tarritoy rule 8- provider reciever both of taxable territory then pops will be in taxable territory

Madhukar N Hiregange (Chartered Accountant) (39034 Points)
Replied 08 July 2016

The classification of the service would be important here. Also who is the recipient?

If the service is provided in India on Indian models then ST payable in India even if the payment is recived inCFE form outside India. Rule 4(b) of POPS.

If service provided in USA for Indian Models and provided on behalf of US agency- not liable to ST.

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