Export of service

[Guest]

Dear Sir ,

I am working as a consultant in Bangalore (india) for a european company which sells goods to Indian customers. My role is to generate enquiries , forward the quotations received from european company to Indian customers, particiapte in techno-commercial negotiations and pass on the orders to european company . The customers release order on european company . I raise a service invoice to the european company and I get paid in Euro. Please advice whether my service is exempted from service tax under ' export of service'

Thanks.

Monappa

[Nitesh Jain]

Place of supply of your service would be location of Supplier in terms of provision of Sec. 13(8)(b) of IGST Act, 2017..Accordingly, the said service would not qualify as export of services as per sec. 2(6) of IGST Act, 2017. Hence, CGST & SGST would be payable...In case aggregate turnover exceeds ₹ 20,00,000/- in a year.

[KASTURI SETHI]

You are providing intermediary services and covered under Section 13(8)(b) of the IGST Act. Place of supply is in India and you do not conform to the definition of 'export of service' under Section 2(6) of IGST Act. One parameter (iii) of sub-section 6 of Section 2 is not qualified. All conditions mentioned under Section 2(6) of IGST Act must be qualified.

AI Summary

Place of supply rules: supplier location makes intermediary services non export, attracting domestic GST liabilities. The consultant's intermediary activities make the service fall within intermediary rules; the place of supply is the supplier's location in India, so the service does not qualify as an export of service and domestic GST (CGST and SGST) applies when aggregate turnover exceeds the registration threshold.