Stax on foreing labour contract

Sir

 

We got a foreign contract to supply manpower for the erection work to be carried out at thailand.Is there any service tax payable by us on behalf of the foreign client, to Govt of india.my presumption is since the payment is made on foreign currency and foreign exchange is involved, the service tax is not applicable in this case .Kindly clarify.

 

Thanking you

V.jagannathan

Replies (1)
yes your thought is right, no service tax applicable on this transcation. Service is provided outside and amount received in convertable FE.

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