Export of services: supplies by Indian incorporated subsidiaries to related foreign companies may qualify as export if statutory conditions are met. Condition (v) of export of services excludes supplies between establishments of a distinct person; a branch/agency of a foreign company in India is an establishment of that foreign company and such intra-company supplies do not qualify as export. A company incorporated in India and a foreign company incorporated outside India are separate persons; therefore services supplied by an Indian-incorporated subsidiary/sister/group company to related foreign incorporated entities outside India are not treated as supplies between merely establishments of a distinct person and may qualify as export of services, subject to the other conditions in section 2(6).
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.
Export of services: supplies by Indian incorporated subsidiaries to related foreign companies may qualify as export if statutory conditions are met.
Condition (v) of export of services excludes supplies between establishments of a distinct person; a branch/agency of a foreign company in India is an establishment of that foreign company and such intra-company supplies do not qualify as export. A company incorporated in India and a foreign company incorporated outside India are separate persons; therefore services supplied by an Indian-incorporated subsidiary/sister/group company to related foreign incorporated entities outside India are not treated as supplies between merely establishments of a distinct person and may qualify as export of services, subject to the other conditions in section 2(6).
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