Travelling expenses incurred outside India by on duty employee whether taxable?

[Yatin Bhopi]

Dear experts

We are MNC and our employees, directors, marketing persons regularly visiting abroad for official work (customer meet \ trainings \meetings with superiors). They spends on car hire, hotel accommodations, air travel. They pay these expenses from credit cards provided by our company or advances taken from company in cash.

Whether service tax is payable under reverse charge on such expenses incurred by employee abroad?

AI Summary

Service tax on foreign employee expenses not leviable when services are consumed abroad and not imported into India.
Expenses for car hire, hotel accommodation and air travel incurred and paid for outside India do not attract service tax because they are not provided in the taxable territory; reverse charge applies only where a service is imported into India. Reimbursements or payments made on behalf of employees do not convert those foreign-supplied services into taxable services provided in India, and services by employees to their employer in the course of employment are not treated as taxable services in this context.