The Company works of films shoot (production services).
There are its services criteria.
1. The service recipient belongs from abroad.
2. The amount is receiving in dollar in bank
3. but shoot (service) is completing in india.
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Is it deemed Export of services or not
Replies (5)
Quick Summary
Place of supply
As the service recipient belongs from abroad and the shoot is completing in India, the place of supply of the service is outside India as per Section 13(2) of the IGST Act, 2017.
Receipt of consideration
The consideration for the service is being received in foreign currency in a bank account in India. As per Section 2(6) of the IGST Act, 2017, export of services means the supply of services when:
the supplier of service is located in India;
the recipient of service is located outside India;
the place of supply of service is outside India;
the payment for such service has been received by the supplier of service in convertible foreign exchange; and
the supplier of service and the recipient of service are not merely establishments of a distinct person in accordance with Explanation 1 in Section 8 of the IGST Act, 2017.
Therefore, if all the conditions mentioned above are met, then the services provided by the company for film shoot (production services) would qualify as export of services under GST.
In the above mentioned queries, where would the place of supply? in India or outside india
It is not cover under Export of service.
In term of Section 13(5) igst Act POS is location of film shoot which is India .
In term of Section 13(5) igst Act POS is location of film shoot which is India .
It means Supply has to pay tax on what amount is received from the abroad clients
GST is applicable on services being provided or amount received whichever is earlier.
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