Service Tax Registration for Foreign Company

Hi Narayan if i understand your question right - the point you are making is that the service is provided in India, but the billing is from UK to a customer in India. if you answer to my understanding is yes. Service tax is applicable as long as services is provided in India Please check Circular 141 issued dated 13th of May 2011.

As per my understanding Indian branch is required to obain the registeration and would required to pay the service as reciepient of service under reverse charge method.

As per my understanding Indian branch is required to obain the registeration and would required to pay the service as reciepient of service under reverse charge method.

As per my understanding Indian branch is required to obain the registeration and would required to pay the service as reciepient of service under reverse charge method.

Dear Mr Prasad

 Thanks for  the  clarificatio.

 Please note that  eventhough service rendered  in Indian Branch  of the MNC, billing is from  UK(Service Provider) to MNC Head  office  at UK.  Billing is  not  addressed to Indian Branch  of the MNC (service receiver)

 Please clarify

Hi Rashi

 

 Thanks for the  clarifications.

Please note that  there is no indian  branch of the Service Provider Company. One  indian staff   provides the service. He is in the  roll of Head Office(UK)

you mean only the services is in India and the commercial all transcations happen at UK. I am still of the opinion ST is applicable, however since both the parties involved person raising the invoice and the person paying in overseas who should pay tax?? Let me check on this, a difficult proposition.

as the service is used by indian branch of MNC, how they can define it in their accounts if the bills are paid in uk? if this is not reflected in indian accounts then no question of st, as service tax applies only when some commercial transaction takes place.