Service Provided in India to a Foreign Party residing in a foreign Country.

[Guest]

Sir

I am a marketing service provider. I provide marketing services in India to a foreign party situated outside india. My work is to promoted about the business of foreign party in india. Please suggested whether it accounts to export of services or not?

[KASTURI SETHI]

Dear Querist,

You are playing the role of intermediary service. You are working for and behalf of another party. Your place of supply is covered under Section 13(8)(b) of IGST Act, 2017. Place of supply is location of the supplier of services i.e. India. Hence it cannot be termed as export of service. Also read Section 24 (vii) of CGST Act, 2017 for compulsory registration.

[CASusheel Gupta]

Please provide some more facts as to whether your role is restricted to marketing or it extends to assisting in striking deal between foreign company and prospective customers.

Thanks and Regards

CA Susheel Gupta

9811004443

[YAGAY andSUN]

Place of provisions of services is in India. Hence taxable accordingly.

AI Summary

Place of supply in India for intermediary marketing services makes them taxable domestically, not export of services. Where a marketing provider in India acts as an intermediary for a foreign principal and supplies services from India, the place of supply is the supplier's location (India); such services do not qualify as export of services, are taxable domestically under GST, and may require compulsory registration, subject to factual distinctions about the extent of the provider's role.