2021 (10) TMI 487

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....ar, Member (Technical) Smt. Radhika Chandrasekar, Advocate for the Appellant Shri Arul C. Durairaj, Superintendent (AR) for the Respondent ORDER Per Ms. Sulekha Beevi C.S. The appellants are engaged in the manufacture of additives. They entered into technical assistance agreements with M/s. Chevron Oronite Company LLC, USA. As per the agreement, the appellant is paying royalty to th....

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....ed and argued for the appellant. She submitted that the appellant has discharged service tax on the entire consideration paid to the foreign service provider. TDS was paid separately by the appellant in terms of agreement entered by the appellant with foreign company. As per the agreement, the running royalty shall be the net of Indian income tax which shall be borne by the appellant. The demand o....

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.... Ltd. (supra). The relevant portion of the order is reproduced as under:- "8. Service Tax Valuation Rules, 2006 before amendment by Notification No. 24/2012-S.T., specifically Rule 7 needs to be read to arrive at the correct value of taxable service provided from outside India relevant Rule is reproduced : - "7. Actual consideration to be the value of taxable service provided fro....

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....ion charged for the services provided or to be provided. In the case in hand, we specifically asked for the invoice/bill raised by the service provider and on perusal of the same, we find that appellant had discharged the consideration as raised in the said invoice/bill. There is nothing on record that indicates that the appellant had recovered that amount of Income Tax paid by them on such amount....