Applicability of the provisions of the Export of Services Rules, 2005 in certain situations

Export of Services classification: services qualify as export when the benefit accrues outside India, even if performed domestically.

The Export of Services Rules, 2005 classify services into three categories with distinct export tests: services linked to immovable property are export when related to property outside India; services with identifiable place of performance are export when performed outside India; residual knowledge-based services are export if provided to a recipient located outside India and the benefit accrues outside India. For Category III, services may be exported even if performed wholly in India, provided the benefit accrues abroad; examples include call centres, medical transcription, marketing agents for foreign sellers, and remittance dispatch agents.