Is service taxable in non taxable territory ?

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This query is : Resolved

Natasha Mourya (Querist)

13 January 2015 Point 1: Service provider is from non taxable territory & service receiver is from taxable territory. In the case the provision of place of service is the place of service receiver, it means service is taxable but who is entitled to pay the service tax, is service provider or service receiver.
Point 2: In the case of immovable property, service provider & receiver are from taxable territory,but the place of service of immovable property is non taxable territory (Jammu). In this case is service taxable & who is entitled to pay service tax ?????

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)

13 January 2015 1. Service receiver has to pay service tax.
2. Service tax not payable as service rendered in non taxable territory.

Rupesh Jain

Rupesh Jain (Expert)

14 January 2015 1. service received will pay tax if under RCM.
2. service tax will applicable if service agreement and order are giving form the taxable territory.

like delhi headoffice give the contract to delhi party to work in Jammu.
if order place from Jammu and service provider also of Jammu then no service tax applicable. then Jammu state act will applicable.

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