Export of services: supplies from Indian-incorporated affiliates to foreign parents can qualify as exports if other conditions are met. The circular clarifies that a company incorporated in India and a foreign company incorporated outside India are separate persons; therefore supplies of services by an Indian-incorporated subsidiary/sister/group concern to establishments of the foreign parent abroad are not 'merely establishments of a distinct person' under Explanation 1 to section 8 and need not be excluded by clause (v) of sub-section (6) of section 2 of the IGST Act, subject to fulfilment of the other export conditions. By contrast, branches, agencies or representative offices of the same foreign company are establishments and supplies between them and the foreign parent do not qualify as export.
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 from Indian-incorporated affiliates to foreign parents can qualify as exports if other conditions are met.
The circular clarifies that a company incorporated in India and a foreign company incorporated outside India are separate persons; therefore supplies of services by an Indian-incorporated subsidiary/sister/group concern to establishments of the foreign parent abroad are not "merely establishments of a distinct person" under Explanation 1 to section 8 and need not be excluded by clause (v) of sub-section (6) of section 2 of the IGST Act, subject to fulfilment of the other export conditions. By contrast, branches, agencies or representative offices of the same foreign company are establishments and supplies between them and the foreign parent do not qualify as export.
Full Summary is available for active users!
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
of 
Join Channel
TaxTMI 
