TaxTMI 
TaxTMI 
Dear Freinds
Can you guide me the calculation mechanism of Service tax & Tds deduction om import service with a exemple.
Best Regards
Partha
Calculation Mechacanism of ST on Import Service
23 Nov 2015 
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Service tax on imported services is calculated on consideration in Indian currency; TDS cannot be deducted on the tax.
Service tax on imported services is calculated on the consideration paid to the service provider after converting that consideration into Indian currency. Service tax must be paid from the recipient's own funds and cannot be reduced from the consideration payable to the service provider; TDS is not deductible on the service tax portion. For TDS treatment of payments to non-residents, reference should be made to the applicable Double Taxation Avoidance Agreement. (AI Summary)
Service tax on imported services is calculated on the consideration paid to the service provider after converting that consideration into Indian currency. Service tax must be paid from the recipient's own funds and cannot be reduced from the consideration payable to the service provider; TDS is not deductible on the service tax portion. For TDS treatment of payments to non-residents, reference should be made to the applicable Double Taxation Avoidance Agreement. (AI Summary)