Neeraj Gautam (Cheif Manager - Finance & Accounts) (32 Points)
21 May 2009My company appointed an employee on contract and posted him out side india for 2 years, We need to raise the invoice to our sister concer outside india in USD. IS this invoice is liable to charge service tax?
Arun Kumar Singh
(GST Advocate)
(15220 Points)
Replied 21 May 2009
you can raise the service tax but depend upon the services.
Madhukar N Hiregange
(Chartered Accountant)
(39034 Points)
Replied 22 May 2009
There is no liability as the service is performed and received outside India.
Satish
(CA Final Student)
(479 Points)
Replied 23 May 2009
Madhukar N Hiregange
(Chartered Accountant)
(39034 Points)
Replied 24 May 2009
There is no need in my view to examine the tyep of service as long as the service is provided and recived outside India. It would be subjected to the laws of that location and India would not have territorial jurisidction.
Neeraj Gautam
(Cheif Manager - Finance & Accounts)
(32 Points)
Replied 26 May 2009
Thanks Madhukar, I am also of the opinion that services performed and received outside India is not liable to charge service tax. Doubt which created in my mind because engineer professional appointed in India and by an Indian firm. Secondly, One more query is there that whether to deduct TDS from the claim amount by the professional.
CAclubindia
