08 August 2015
We are manufacturing company and planning to open branch office outside India. It would support marketing activities in overseas and also do trading activities. HO will reimburse the regular operating expenses of branch which will include salary, professional fees, rent and other operating expenses. My query is are we supposed to tax service tax on foreign outward remittance send for reimbursing such expenses. If Yes please give the relevant section, rule, case law if any. Thanks in advance.