TaxTMI 
TaxTMI 
what is the custom duty, service tax and other duties on importing software in India
Import of software - custom duty and service tax
26 Oct 2009 
2 Replies 
11881 Views Asked by
Service tax on imported software is payable by the recipient under reverse charge; customs duty exempt and VAT on resale applies.
Customs duty is exempt on importation of software. Excise duty is treated as exempt subject to payment of service tax on imported software, with the service tax liability falling on the recipient in India under the reverse charge mechanism. For resale of imported software in India, sales tax/VAT is payable in addition to service tax. (AI Summary)
Customs duty is exempt on importation of software. Excise duty is treated as exempt subject to payment of service tax on imported software, with the service tax liability falling on the recipient in India under the reverse charge mechanism. For resale of imported software in India, sales tax/VAT is payable in addition to service tax. (AI Summary)