Sub:-service tax issue (export of services)

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Syed Jamal Haider Zaidi (Querist)
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29 June 2012 Dear sir, your expert opinion required on the below mention Issue-

Sub:-Service Tax Issue (Export of Services)

An Overseas company “A” incorporated in Australia and having various customers (Debtors) in India,
an another company “B” incorporated in India and not a sister concern of overseas Company get collections from all the Indian debtors of overseas company “A” on commission basis, and issue commission invoice directly to overseas company “A” outside India, now question arise

1. whether commission basis services provided in India by Company “B”, have to be considered EXPORT SERVICES
2. it also make sure the company B issue invoice to overseas company A in Australian currency

Required help with the provision of Service Tax Act and with decided case.

Regards
J.H.Zaidi
+919990257899

CA Syed Raza Abbas Rizvi

CA Syed Raza Abbas Rizvi (Expert)
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30 June 2012 Yes This is export of services.

This Service Covers under the head of BUSINESS AUXILIARY SERVICE.

Further, Any service which is taxable under clause 105 of Section 65 may be exported without payment of service tax.
(Rule 4 of Export of Services Rules, 2005)

Syed Jamal Haider Zaidi

Syed Jamal Haider Zaidi (Querist)
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02 July 2012 Thanks for your response,

may you please give any decided case regarding that, because if services rendered in India than the same not considered Export services

Syed Jamal Haider Zaidi

Syed Jamal Haider Zaidi (Querist)
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12 July 2012 for export of service atleast 1% shold be performed outside India...

CA Syed Raza Abbas Rizvi

CA Syed Raza Abbas Rizvi (Expert)
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12 July 2012 Please read Circular No.111/05/2009-ST, dated the 24th February, 2009, Specially Rule 3 (1) (iii). Link is given below

https://www.servicetax.gov.in/circular/st-circular09/st-circ-111-2k9.htm

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