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2017 (9) TMI 359 - AT - Service TaxBusiness auxiliary service - reverse charge mechanism - considerations paid to the foreign telecom service provider who provides telecom service to the subscriber of the appellant during their visit outside India - Held that: - There is no dispute that the services provided by the foreign telecom Co. is squarely covered by the tax entry 'telecommunication service'. However, the tax liability could not be brought in only for the reason that the said provider of service in foreign country is not a Telegraph Authority as required under Finance Act - the telecommunication service liable to tax has been exhaustively defined and admittedly, the services now under consideration are specifically covered in the said tax entry. The Board has examined the international practice with reference to roaming services vide Circular dated 03.01.2007. It was held that services to inbound roamers is delivered and consumed in India and hence, it is not an export of service. It was further clarified that international practice treats the telephone service provided to an inbound roamer by the visited network, for purpose of taxation, in the same manner as a telephone service provided to any home subscriber. Appeal allowed - decided in favor of appellant.
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