Service tax applicability

kannan (none) (97 Points)

30 April 2013  

if a nri provides technical consultancy to an Indian for a project outside India (export of service) and gets paid by the Indian then sec 9 of IT rules imply that the income does not arise or accrue in India and hence no TDS. The question is if this service provided by the NRI is a non taxable service then does service tax through reverse charge mechanism apply for the payments recd by him from the Indian entity?