Service provided in india to a japanese company

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rimica agarwal

Buss manager

21 Points Posted on 10 July 2015

Dear fellows,

This is in regards to the query of service tax invoice. The details are as under:

a) Invoice raised in the name of Japanese company b) Invoice raised in USD c) Invoice raised for special services provided in India (Work done locally) d) 14% service tax applied

Now according to them they are not liable to pay service tax as there is some agreement between india and japan which i am unable to find. I am attaching herewith the document received from their end to fill up and send.

Now the question is whether they are not suppose to pay 14% service tax? Or they will submit this document to their government and we have to do necessary paper work to reclaim that 14% ? Or is it legitimate to charge 14% and there would be no query from Government of India? or we should not charge service tax at all?

Please help its urgent.

Regards,

Rimica

Attached File : 939594 20150710151609 japan.pdf downloaded: 153 times

Replies (2)

Kuldipsinh Jadeja

Job

320 Points Posted on 12 July 2015

Since Service is provided in India (except the state of J&K) service tax would be levied provided it is not an exempt service or specified in negative list.

As far as the document you have attached is concerned it has nothing to do with service tax. It is in relation to Income Tax as there is DTAA between Japan & India. So if you want any info with this regard please provide further inputs or pm me.