Service tax on foreign remittances not leviable where transaction is money and place of provision is outside domestic territory. No service tax is leviable on foreign currency remittances because the remitted amount is a transaction in money and not a service. Conversion or remittance fees charged where sender and remitting entity are outside the domestic territory are treated as services provided outside the domestic territory under the Place of Provision of Services Rules, 2012. Indian receiving banks charging foreign recipients for receiving-end services are not liable to service tax because the place of provision is the recipient's location outside the domestic territory.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Service tax on foreign remittances not leviable where transaction is money and place of provision is outside domestic territory.
No service tax is leviable on foreign currency remittances because the remitted amount is a transaction in money and not a service. Conversion or remittance fees charged where sender and remitting entity are outside the domestic territory are treated as services provided outside the domestic territory under the Place of Provision of Services Rules, 2012. Indian receiving banks charging foreign recipients for receiving-end services are not liable to service tax because the place of provision is the recipient's location outside the domestic territory.
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