Service tax applicability

RajeshShah (Others) (33 Points)

09 June 2016  

We are an IT company and we pay an annual fee to company situated outside India called Salesforce.com. This is paid in USD and it is for partner program membership i.e. once we pay the fees, we are their registered partner. 

Is service tax applicable for this payment? if yes, how much should the service tax be paid if the amount paid in INR (after conversion) is Rs 40000?