Service tax for indian freelancer or proprietorship busines

Queries 629 views 1 replies

Dear Sir/Mam,

Please advise, I am stating the case below.

I left my salaried job in end of 2013 and right now I am not employed anywhere rather I am trying to get myself engaged in some freelancing jobs of software development and consultation. Meanwhile I got a proposal from one European company. They want to hire me on contract basics and I will be working from my home (Kolkata) and they like to pay me in my bank account. They confirmed me that they will deposit Euros and do needful so that I will get that amount of money as INR in my Savings Bank account. I expect if this contract continues for a year then in a financial year the earned revenue will be more than 10L.

Here are the queries:

1. Since it is an inward foreign money remittance (but recorded in bank account as INR) and client has no office in India, am I applicable for Service Tax Registration?

2. If I obtain a Trade License of Proprietorship Business and do work in same way and receive the money in the current account, Service Tax is applicable?

3. Do I or that Proprietorship Business require any export license?

Kindly reply, I'm really seeking the right assistance. Thanks in advance :)

Regards,

Kallol

Replies (1)

In order to consider this as exportyou need to satisfy six condition mentioned in rule 6A. 

moreover check where the service is provided as per POP rules.

For more refer this article : /articles/tax-service-tax-implication-of-freelance-work-in-india-part-2--20841.asp#.U7S8W_mSwbg


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