Home Case Index All Cases Service Tax Service Tax + AT Service Tax - 2020 (1) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2020 (1) TMI 635 - AT - Service TaxPlace of provision of service - Export of services or not - POPOS Rules - SCN alleged that the respondents provided the taxable services to GMGTO which were actually consumed in India and not abroad and the same cannot be considered as export of service in terms of Rule 3(2)(a) of Export of Service Rules 2005 (up to 30.06.2012) and Rule 6A of the Service Tax Rules, 1995 (with effect from 1.07.2012). HELD THAT:- The SCN alleges that the services are used by the respondent in India. The use of service provided by the respondent to GMGTO is the only issue which can be subject to service tax, if at all. The manner in which M/s GMGTO used the service thereafter can be a separate transaction by the respondents with GMGTO and would need separate scrutiny. In the present proceedings only the service provided by the respondent to GMGTO is the subject matter of scrutiny. Revenue has sought to rely on Rule 2(i) of the Place Of Provision Of Service Rules, 2012 while relying on Rule 2(i)(b)(ii) the revenue ignores the existence of Rule 2(i)(b)(i) while Rule 2(i)(b)(ii) prescribes that the place of use would be relevant; Rule 2(i)(b)(i) prescribes the location of the business established would be relevant - In the instant case, the business establishment of service recipient namely GMGTO is U.S.A and therefore, the location of service recipient would be U.S.A and not India. Appeal dismissed - decided against Revenue.
|