export fo services

[Madhavan iyengar]

A indian Company X in new delhi has received a contract for submission of a quality audit report, for one of the clients based in haryana india of an overseas company B located in US.

X will raise invoice in USD and receive money in foreign exchange

Whether the aforesaid services provided by X will fall under export of services as all conditions for export will be satisfied (but doubt on performance of services will it be held that POPS is in India ????)

AI Summary

Place of supply rules determine whether services performed in India qualify as export of services, affecting IGST applicability.
Qualification of a service as export of services requires simultaneous satisfaction of all statutory ingredients; if performance occurs in India the condition of performance outside India may not be met and the supply may instead be treated as an inter state supply liable to IGST, whereas market research/marketing support services can qualify as export where the facts meet every element and proper service classification supports that conclusion.