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2017 (12) TMI 237 - AT - Service TaxBusiness Auxiliary services - business promotional activities - POPOS Rules - various obligations on the part of the appellant which included the promotion of the brand and business of VISA and Master Card - export of services or not? - Held that: - the fact that the service recipients, with whom the appellants entered into agreements are located outside India is not in dispute as can be seen from the proposals of the show case notice itself - Even the Commissioner in his order while admitting this aspect of agreement, however, held that these services were actually consumed and utilized in India. We are not in agreement with such conclusion - Admittedly, the other parties to the agreement with the appellants have received the services. The Service Tax being destination based consumption tax, the present case will cover the requirements for export of services. The decision in the case of Verizon Communication India Pvt. Ltd. Versus Assistant Commissioner, Service Tax, Delhi III, Division-XIV & Anr. [2017 (9) TMI 632 - DELHI HIGH COURT] referred, where it was held that When the Master Supply Agreement between Verizon India and Verizon US is examined, it is plain that the recipient of the service is Verizon US and it is Verizon US that is obliged to pay for the services provided by Verizon India. Appeal allowed - decided in favor of appellant.
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