Importing Software for reselling
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Service tax exposure for imported software resold depends on reseller's role and fulfillment of exemption conditions.
Whether sale of imported software licences conveyed digitally and resold in India without attendant support attracts service tax depends on product classification, the reseller's contractual role, and satisfaction of exemption conditions tied to packaged software and related registration requirements; authorities may treat the reseller as an agent or authorised dealer and seek service tax despite absence of direct support. (AI Summary)
Whether sale of imported software licences conveyed digitally and resold in India without attendant support attracts service tax depends on product classification, the reseller's contractual role, and satisfaction of exemption conditions tied to packaged software and related registration requirements; authorities may treat the reseller as an agent or authorised dealer and seek service tax despite absence of direct support. (AI Summary)
We are planning to import software from USA & reselling it in India. We are not giving any services or support for that software. Just buying from USA and reselling in Indian market, the parent company itself gives direct support. Do we need to add services tax, while billing to our customers?
TaxTMI