Applicability in case of foreign expert services.
This query is : Resolved
31 January 2013
We take user licenses from a foreign company for a selected section of its website containing research pages and expert analysis. We also hold tele-conferences with them to get opinions on a particular subject. We send Draft documents via email to them and get expert opinions on them.
For the above, We have made an annual contract for a certain fee to be paid in US Dollars in quarterly installments. Their Invoices are in US Dollars and do not include service tax. The agreement also provides that they would receive the agreed fee as net and all the taxes whatever applicable, will be extra.
My question is that whether this is liable to Service tax as a service receiver ? Please reply soon.
For the above, We have made an annual contract for a certain fee to be paid in US Dollars in quarterly installments. Their Invoices are in US Dollars and do not include service tax. The agreement also provides that they would receive the agreed fee as net and all the taxes whatever applicable, will be extra.
My question is that whether this is liable to Service tax as a service receiver ? Please reply soon.
31 January 2013
Dear Samir,
The First part of your query ie online access of webpages falling in Rule 9 of Place of Provision of Service Rules,2012 and the rest of Services are falling in Rule 3 of above rules.
Looking at the dominant nature of services the above services are covered in Rule 3 and hence the as per reverse charge you have to pay tax on the same.
See Guidance note of CBEC on the above issue and Place of Provision of Services Rules,2012.
Thanks
The First part of your query ie online access of webpages falling in Rule 9 of Place of Provision of Service Rules,2012 and the rest of Services are falling in Rule 3 of above rules.
Looking at the dominant nature of services the above services are covered in Rule 3 and hence the as per reverse charge you have to pay tax on the same.
See Guidance note of CBEC on the above issue and Place of Provision of Services Rules,2012.
Thanks
Message likes :
1 times
01 February 2013
Thank u sirji.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Is this income indian or foreign income?
- REGARDING GST ON COMMERICIAL PROPERTY
- 15ca /15cb whose income tax login? remitter or nri seller's login?
- Regarding Documentation & Compliances for Opening of Unit of Pvt Ltd.
- ITC temporary reversal and reclaim
- GST on export of services and Input Credit
- TDS U/S. 194NF
- RCM applicability on Rent Paid by Registered Person to Unregistered Landlord for Residental Building
- Applicable TDS rate for sale of property in Nov 2024
- Capital gain consideration
- MIS MATCH OF INVOICE NUMBER
- VERIFICATION OF REFUND RELATED
- GST Regis.
- ITC c/f from FY2022-23 to FY2023-24 entered the same in table 8C of GSTR9 of FY 2022-23, in FY23-24
- Late filling fees Demand by gst office
- IGST Credit-Show cause notice issued-confusion
- Short and Excess provision of expenses
- Issue of gst e invoice
- Interchangeable words in accounts
- Adjusted profit/Loss in the case of LLP and Pvt. Ltd.company
Trending Online Classes
CAclubindia
