Service TAx current ruling - Clarification needed

Dear Sir / Madam,


I run a small web design & development company and provide services for companies in the USA alone. My payments are received directly to my bank current account as converted foreign exchange.

I have been advised so far that since the services are rendered outside India, it is not taxable, however, I am eager to reconfirm that the same is not taxable.

Kindly do let me know the rule regarding the same.

Your advise / help would be truly appreaciated.

Regards,

Rajesh

Replies (2)

I think it will be taxable because as per rule 3(2)(b) of Export of Service Rules, for treating the service as export of service payment for such service is received by the service provider in convertible foreign exchange.. Wait for experts comment..

get IE code for your export business, and send the invoice in foreign convertible exchange thorugh your banking chanel to avail bank realization of forex, otherwise such remittences does not confirm anything. 

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
ARTICLESHIP 25 August 2026
CA Article's

Saini Pati Shah & Co LLP

Mumbai

CA Inter

View Details
Company
13 August 2026
Chartered Accountant (FP&A)

Client of Trellis Consulting

Gurgaon

CA

View Details
Company
12 August 2026
Deputy Manager - Finance

RoamPrime Technologies Private Limited

Bengaluru

CA

View Details
Company
29 August 2026
Chartered Accountant

Velionit Consulting PVT LTd

Mumbai

CA

View Details
Company
25 August 2026
Senior Accountant

MG Associates

New Delhi

CA Inter

View Details
Company
17 August 2026
Chartered Accountant with US GAAP Experience

Austin Med Solutions Pvt Ltd

Bengaluru

CA

View Details
Company
28 August 2026
Audit Manager

K A R M & CO

Mumbai

CMA

View Details
Company
18 August 2026
Audit Assistant - Remote / Work From Home

CA ANOOP P K & ASSOCIATES

Kozhikode

CA Inter

View Details