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Query on charge of service tax

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This query is : Resolved

sailesh (Querist)
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15 November 2012 My Client is a software developer in India (Proprietorship concern). They entered into Memorandum with the UK company for rendering services and the 4500 $ is paid every month. the client does not raise any Invoice to the UK company. Can anyone analyse the service tax applicability on this ??

CA.ATUL GUPTA IPCC TAX FACULTY

CA.ATUL GUPTA IPCC TAX FACULTY (Expert)
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15 November 2012 FRIEND THEN ON WHAT BEHALF THEY PEOPLE ARE PAYING TO UR CLIENT.THERE MUST BE SOME BILL OR INVOICE ON THE BASIS OF WHICH THEY ARE PAYING YOU.NO MATTER UR CLIENT HAVE NOT TO PAY ANY TAX AS EXPORT OF SERVICES ARE TAX FREE.

sailesh

sailesh (Querist)
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15 November 2012 Thanks for the reply. They are not raising invoice. Rather they get paid as per the terms of memorandam. Is bill or invoice compulsory for this situation ?? Kindly clarify

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