gaurav (director) (24 Points)
26 May 2013We have a company in India and we provide software service to company in USA.. when they give us money they convert the USD in INR and send to us.. We receive money is INR only via NEFT "NEFT INWARD NEFT IN UTR XXXX1208 FROM XYZ CHASH 45367567 TXN".... we are in this business from last 3 years Do we need to pay service tax ?
I heard "Export of Service - RULE 6A ofService Tax Rules - IRRELEVANT!" will it make any diference
CA PARTH SHAH
(In Practice)
(1951 Points)
Replied 03 June 2013
"Export of Service - RULE 6A ofService Tax Rules 1994 are replaced by "Place of Provision Rules 2012" hence check the applicability of service tax accordingly
FONDER HEART
(CA Job)
(22 Points)
Replied 05 June 2013
A transaction would qualify as an Export only when the Conditions of Rule 6A would be satiesfied. If the conditions of Rule 6A does not satiesfy it will remain non taxable but benefits for export would not be allowed. In your case one of the conditions of 6A has not satiesfied so benefit of Refund if any will be withdrawn and hence will be cost to the company.
CAclubindia
