I am engaged by a US based firm on contract basis to provide training service in India & outside India also. The US based firm interacts with the customers in India & they sell the training services to them. as part of the sales, the US based firm makes it clear to customer that they (customers) will have to pay the service tax applicable in India. So the service tax is paid by the customers. I have checked with few customers & they have confirmed the same.
In this scenario, as service tax is already paid by the recipient of the service & I am working with a foreign company who does not have any office in India, do I still need to pay the service tax for the trainings I provide in India? Also can this be considered as export of service as I will be dealing with the foreign company directly & the money gets credited in USD to my account directly from US.
If I do not need to pay service tax, is there any thing that I need to declare for claiming the exemption?
Any response to this will be greatly appreciated
CAclubindia
