Our company provides service to foreign companies to generate orders for their equipments in India, in return we receive commission in Foreign currency.
Pls clarify if service tax is applicable on this if the payment is received in foreign currency from foreign companies
Thanks Regards
Uday
This is export of service not liable to service tax.
Dear Mr Nair
Thanks for your very prompt response, the opinion from our CA is that this is a grey area as it it not possible to clearly demonstrate if the services are provided in India or export.
Though it is clear that we render services to the foreign as they make the payment to us. Is there any notification clarifying this esp in light of the negative list. Thanks for your help
Regards
Uday
CAclubindia
