Service tax on import services

Dear Sir / Madam ,

We have deducted TAX on lawer fees under sec 195 , as per DTA agreement , (  Even though the services are done outside india , it is come under 9(1)(vii) of the income tax Act . hence it is deemed to acrue or arised in india ) , in this case what about the service tax ? , 

My question is :

1)  the service provided in outside india , then shall we liable to pay servie tax as import of services ? 

2) For the TDS purpose already we considered as deemed income of india , the same view shallwe apply for service tax ?

3)  Pls cleary whether this service is import of service or domestic servie  ?

 

Note :  According to me , the service rendered outside india , hence we consider as import of servie , is it right viwe ?

Replies (1)

Situs of recipient of service is the criteria for legal services. Since the recipient in your case is situated in India, it amounts of import of service and hence taxable in your hands.

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