service tax on software online service to overseas countries

[jagadesh kumar bhojanapalli Kumar]

Dear Sir,

We would like to know that service tax is applicable on software service providing to overseas clients through online where we are getting foreign currency on hourly basis and also we are providing service in india GPS tracking . In both cases together it is crossing ₹ 10 Lakhs in last month. We have not obtained any service tax registration.

Pl clarify the same

regards, jagadesh

AI Summary

Export of service exemption excludes foreign receipts from service tax thresholds; domestic taxable services trigger registration once threshold exceeded.
Exported software services to overseas clients are classed as export of services and are exempt, and their value is excluded when computing the aggregate value for threshold-based exemptions. Domestic software and GPS tracking services are taxable, and providers must register once the aggregate value of taxable services in a financial year exceeds the statutory registration threshold; export receipts are not counted for that registration threshold.