TMI BlogClarification on export of services under GST.X X X X Extracts X X X X X X X X Extracts X X X X ..... GST laws. The same have been examined by the Board and the clarifications on the same are as below: Sl.No. Issue Clarification 1. In case an exporter of services outsources a portion of the services to another contract person located outside India, what would be the tax treatment of the said portion of the contract at the hands of the exporter? There instances may be where the full consideration for the outsourced services is not received by the exporter in India. 1. Where an exporter of services located in India is supplying certain services to a recipient located outside India, either wholly or ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ervices located outside India has directly paid to the supplier of services located outside India (for the outsourced part of the services), that portion of the consideration shall also be treated as receipt of consideration for export of services in terms of section 2(6)(iv) of the IGST Act, provided the: (i) integrated tax has been paid by the supplier located in India for import of services on that portion of the services which has been directly provided by the supplier located outside India to the located recipient of services outside India; and (ii) RBI by general instruction or by specific approval has allowed that a part of the consideration for such exports can be retained outside India. Illu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ch exports can be retained outside India. In other words, in such cases, the export benefit will be available for the total foreign convertible realization of exchange by ABC Ltd. India and XYZ Ltd. Mexico. 2. Difficulty, if any, in implementation of this Circular may be brought to the notice of the office of the Commissioner of State Tax, Maharashtra State. Yours Faithfully, (Rajiv Jalota) Commissioner of State Tax, (GST), Maharashtra State, Mumbai. No. JC (HQ)-1/GST/2019/CBIC Circular(s)/ADM-8 Mumbai dated 31 st Dec. 2018 Trade Circular (GST) No. 46T of 2018. - Circular - Trade Notice - Public Notice - Instructions - Office orders Tax Ma ..... X X X X Extracts X X X X X X X X Extracts X X X X
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