A web designer situated in India design web site in India for an overseas Company. The former receives payment for his services in Convertible Foreign currency. Whether the said service comes under export of services under Export of service Rules,2005.
13 March 2009
The services fall under “design services” that includes services provided in relation to designing of furniture, consumer products, industrial products, packages, logos, graphics, websites and corporate identity designing and production of three dimensional models;
This will fall under export of services as all the conditions under the provisions are getting fulfilled
1. 3.Rule3(iii)- In relation to Business or Commerce &Recipient located outside India; in any other case recipient should be outside india at the time of receipt of service ( for exports) 2. The use of service is outside India by the service recipient 3. For exports- provided from india and used outside India & payment is received in convertible foreign exchange by the service provider
CAclubindia
