Service Tax on Foreign Receipts

[Guest]

Sir,

I want to know, what is service tax liability on foreign receipts toward payment receipt from Australia for Film shoot in same country. I have service tax no. as an individual.

[Rajagopalan Ranganathan]

Sir,

I want the following details: -

Where are you shooting film whether in India or Australia? If you shoot the film in India and sell it to a person in Australia then it is export of service and no service tax is payable on the service rendered by you. If you shoot the film in Australia then such service in rendered in non-taxable territory and such service is not taxable in India.

[KASTURI SETHI]

I think Service has been provided in Australia and received in Australia. Both Service Provider and Service Recipient are in non-taxable territory in this case. If it is correct, no service tax is applicable.

[Ganeshan Kalyani]

Sri Vinesh ji, is supposed to elaborate his query to enable experts to give their valuable opinion aptly. Thanks.

[Suryanarayana Sathineni]

Dear Yadav Ji,

It is understood by the query that the service is provided in Australia and I am fully in agreement with Mr. Kasturi Sethi Ji's views.

Best regards

Suryanarayana

[KASTURI SETHI]

Sh.Surya Narayana Ji,

Thanks a lot for supporting my views, Sir.

AI Summary

Export of service: film production services provided or consumed outside India are not subject to Indian service tax. Service tax liability for film-shoot receipts depends on the place of provision; if the film is shot in India and sold abroad it is an export of service and not taxable, whereas services performed in Australia are rendered in a non-taxable territory and likewise fall outside Indian service tax.