Export of service

This query is : Resolved

Vaibhav (Querist)
Follow

13 April 2015 To determine 'Export of Service', should We fulfill the all below conditions or any one of the below.

" Rule 6A of The Service Tax Rules, 1994 provide that a service shall be treated as export if:
a. The provider of the service is located in the taxable territory
b. The recipient of service is located outside India
c. The service is not a service specified in section 66D (Negative list) of the Finance Act, 1994
d. The place of provision of the service is outside India
e. The payment of the service is received by the provider of service in convertible foreign exchange, and f. The provider of service and recipient of service are not merely establishments of a distinct person in accordance with item (b) of Explanation 2 of clause (44) of section 65B of the Finance Act. "

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
Follow

13 April 2015 That rule is not applicable now we have go as per the provisions of place of provision of service rule.

Vaibhav

Vaibhav (Querist)
Follow

13 April 2015 Dear Experts,

We are Indian resident providing service of clearing & forwarding agent and rendered service in abroad (in Chaina) for our Indian customer (Located in Taxable territory). Can we charged service tax to our customers towards service rendered in outside India .???
Please reply with sections in act?

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
Follow

15 April 2015 9. Place of provision of specified services.- The place of provision of following services shall be the location of the service provider:-

(a) Services provided by a banking company, or a financial institution, or a non-banking financial company, to account holders;

(b) Online information and database access or retrieval services;
(c) Intermediary services;
(d) Service consisting of hiring of means of transport, upto a period of one month.
See the above provisions of POP service Rules.
Your service is intermediary service and you are service provider located in India
hence service tax payable on this service.

Vaibhav

Vaibhav (Querist)
Follow

15 April 2015 Thank you sir...

Business Auxiliary Service is also covered in Intermediary Services...???

Below rule is applicable for which categories of service provider..???

8. Place of provision of services where provider and recipient are located in taxable territory.- Place of provision of a service, where the location of the provider of service as well as that of the recipient of service is in the taxable territory, shall be the location of the recipient of service.

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
Follow

15 April 2015 In view of the following as the service is provided outside the taxable territory service tax not payable.
The essence of Service tax is that a service should be taxed in the jurisdiction of its consumption. The new charging section, Section 66B of the Finance Act, enables taxation of such services as are provided in the taxable territory. Thus, the services that are provided in a non-taxable territory would not be chargeable to Service tax.

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
Follow

15 April 2015 what are intermediary services?

Generally, an “intermediary” is a person who arranges or facilitates a supply of goods, or a provision of service, or both, between two persons, without material alteration or further processing . Thus, an intermediary is involved with two supplies at any one time:

++ The supply between the principal and the third party; and

++ The supply of his own service (agency service) to his principal, for which a fee or commission is usually charged.'

For the purpose of this rule, an intermediary in respect of goods (such as commission agent i.e. buying or selling agent or a stockholder) is excluded by definition.

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

Join the CA Students WhatsApp Community for ICAI Updates, Trending Courses & Notes!

Similar Resolved Queries

Unanswered Queries

Popular
Recent

Trending Online Classes

Direct Tax Laws & International Taxation May 26,Sept 26 & Jan 27

CA Arvind Tuli

Enroll Now
Audit Fast Track Recorded Batch For May 26,Sept 26 & Jan 27

CA Aarti Lahoti

Enroll Now
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English

CA Bhanwar Borana & CA Shubham Keswani

Enroll Now

view all classess

Meet our CAclubindia PRO Members

Hemkumar

AJAY Kumar Agrawal

Rajasekar

CA Narender Yarragorla

Hitesh Desai

Subscribe Now

Export of service

Similar Resolved Queries

Trending Online Classes

Meet our CAclubindia PRO Members

Quick Links

Browse by Category

Latest Job Openings

Senior Executive

Manager- Finance and Compliance

GST CONSULTANT

GST CONSULTANCY

Accountant

CA Final

Article Assistant

Associate CA