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2014 (10) TMI 312 - AT - Service TaxImport or Export of services - Commission received - reverse charge mechanism - transfer of money from abroad to persons situated in India - Held that:- The service recipient in the transaction is M/s. Western Union, who is situated abroad. There is also no dispute that consideration for the service rendered has been received in convertible foreign exchange. The only dispute is where the service has been rendered. At the relevant time, there were no specific rules to determine the place of provision of service in service tax law. However, with effect from 20/06/2012 a specific Rule has been prescribed called Place of Provision of Service Rules, 2012. Though these Rules are only prospective in nature, the provisions of these Rules can be gainfully used to understand the concept of place of provision. Rule 3 of the Rule says that the place of a provision of a service shall be the location of the recipient of the service. In the facts of the case before us, the service receiver is M/s. Western Union, who has paid the consideration for the service and who is situated outside India and therefore, the place of provision of service should be treated as falling outside India - Following decision of Paul Merchants ltd. (2012 (12) TMI 424 - CESTAT, DELHI (LB)) and Fine Forex Pvt. Ltd. (2014 (4) TMI 34 - CESTAT NEW DELHI) - Decided in favour of assessee.
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