Dear Experts,
Please clarify the following queries.
A Company in India is an OEM (Manufacturer of Rebranded Version) of a foreing company's packaged software.
The foreign company uploads the packaged software to their web server. The Indian company downloads it and sells it as it is without any modification. Further, a license will be provided in the form of USB pen drive or by email which makes the software to run.
In this case,
1. Is there any ST applicable on the sale of such packaged software ? If yes, what is the rate ?
2. Is there any custom duty applicable on such downloads ? If yes, what would be the rate ? As the software is not passing through customs, how to pay such duty, if applicable ?
3. Is there any VAT/ CST applicable on the sale of such packaged software ? If yes, what is the rate ?
Thanks & Regards
Raj
CAclubindia
