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Service tax query ?

Ravi Kiran (Student) (174 Points)

19 September 2013

What would be the situation where the payment for a service is made at one location (say by the headquarters of a business) but the actual rendering of the service is elsewhere (i.e. a fixed establishment)?

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Ranu Purohit (Job) (55 Points)
Replied 19 September 2013

Dear Ravi,

A service should be taxed in the jurisdiction of its consumption.According to the Rules "place of provision of service 2012" shall the location of service reveiver.for this "location of service" defined as :

where the recipient of service has obtained a single registration, whether centralized or otherwise, the premises for which such registration has been obtained;
where the recipient of service is not covered under sub-clause (a);
the location of his business establishment; or
where services are used at a place other than the business establishment, that is to say, a fixed establishment elsewhere, the location of such establishment.

However there is no differnce if service is recevied any where in india (except jammu & Kashmir) due to its a central tax and rate is unique in all over india (Taxable Territorry).

I hope it helps u for better understanding.if any query in regard this you may ask...

Thanks/regards,