Service tax registration

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Avnish (Querist)

01 February 2013 We have Created a new software development company, registered at Indore, we have also opened its branch at Pune as development center, where software shall be developed and its final testing shall be done at Indore, Whether it will suitable to take service tax registration at Indore, as we shall sell software from Indore after its Final Testing.?

CA Vipin Jain

CA Vipin Jain (Expert)

01 February 2013 yes, service tax should be taken at indore.

Avnish

Avnish (Querist)

02 February 2013 Thanks Mr. Vipin...............

Avnish

Avnish (Querist)

02 February 2013 What shall be place of provision of service, if we are uploading the download link of software on website and enabling it download from anywhere by making payment?
What shall be the treatment if the software is downloaded by any party, out of India and making payment through online banking channel?

CA Vipin Jain

CA Vipin Jain (Expert)

02 February 2013 In my opinion it is covered under "Place of provision generally" (Rule 3 of Place of provision of Services Rules,2012) and location of service should be location of recipient. A linking rule is Rule-9 where place of provision of service is "Location of service provider" for "online information and database access or retrieval services"but in my opinion sale of software is not covered under this. It is also clear from point no. 5.9.5 of "Taxation of Services- An Education Guide" issued by department.

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