Export benefits to IT and ITES Industries under GST

[Shyam Agarwal]

Sir, IT & ITES Industries operates its business having head office in India and having branches outside india. Now In order to providing services to its foreign clients, part of service provision is done from India and rest part is completed by its foreign branches but Invoice to all foreign clients is done from india (from head office).whether it be export of service a OR Not to be export by contending that part of service is performed from outside india i.e.by foreign branch?

AI Summary

IT Firm Seeks GST Clarity: Are Services to Foreign Clients Considered Exports When Partly Done Abroad? An IT and ITES industry with a head office in India and branches abroad seeks clarity on whether services provided to foreign clients are considered exports under GST. The primary issue is that while the head office in India invoices clients, part of the service is performed by foreign branches. Responses highlight that for a service to qualify as an export, the supplier must be located in India. Despite partial service provision abroad, agreements and payments are managed by the Indian head office, suggesting the service is from India. Exemptions under Notification No. 15/2018 and related GST provisions are discussed, with experts debating the classification of services and applicability of export benefits.