TMI Blog.Clarification on Notification14/2014-ST-Reg.X X X X Extracts X X X X X X X X Extracts X X X X ..... Dear Sir, One of our consignment Agent is located in Jammu Kashmir selling our goods on commision basis. (Non Taxable Territory). Secondly, We have paid foreign expenditor regarding Advertisement/Exebition, Fees subscription, Legal Professional and Training Expenses etc. Whether we are liable to pay service tax under reverse charges on above both cases and can cenvat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... taken thereon. ( Notification no. 14/2014-ST, dated 11.07.2014 ) Please clarify. Thanks Regards - Reply By Ganeshan Kalyani - The Reply = Refer point no.10 of Notification no.30/2012-ST dated 20.06.2012 . - Reply By RAM SHARMA - The Reply = Dear Sir, since agent being service provider is in J K, the place of provision is outside taxable territory (Rule 9) and not subject to serv ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ice tax and hence, no liability under RCM. Is this rule is right ? Please clarify. Thanks - Reply By KASTURI SETHI - The Reply = I agree with the views of Sh.Ganeshan Kalyani, an expert. RCM is applicable in both instances. If you consignment agent (located in J K) provides service in J K, then it is not taxable. If service is provided outside J K, RCM is applicable. In the second instan ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ce, RCM is also applicable. - Reply By RAM SHARMA - The Reply = Dear Sir, Amendments w.e.f. 01.10.2014 (vide Notification No. 14/2014-ST dated 11.07.2014 ) The definition of intermediary is being amended to include the intermediary of goods in its scope. Accordingly, with effect from 1.10.2014, an intermediary of goods, such as a commission agent or consignment agent shall be covered un ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... der rule 9(c) of the Place of Supply of Services Rules. The definition of intermediary as defined under Rule 2(f) of the Place of Provision of Services Rules, 2012 has been amended vide Notification No. 14/2014-ST, dated 11.07.2014. This notification shall come into force from 01.10.2014. By virtue of this amendment, the scope of rule 9 has been widened ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and will cover supply of goods also. While prior to such amendment, only agent or intermediary who is engaged for providing of services are covered under the definition, w.e.f. 01.10.2014 any broker, agent or any other person whatever name called arranges or facilitates supply of goods between two or more persons shall also be covered under the scope of 'intermediary'. The amended definiti ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on is as follows (f) 'intermediary' means a broker, an agent or any other person, by whatever name called, who arranges or facilitates a provision of a service (hereinafter called the 'main' service) or a supply of goods, between two or more persons, but does not include a person who provides the main service or supplies the goods on his account Accordingly, w.e.f. 01.10.2014 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... any intermediary who is engaged in supply of goods, such as a commission agent or consignment agent shall also be covered under the scope of term 'intermediary'. In case of intermediary services for supply of goods, place of provision of service shall be the location of service provider, as stipulated in Rule 9(c) of the POP Rules, 2012 instead of Rule 3 thereof. As per a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... bove mention amendment, J K is a non taxable territory hence the liability of service tax is shifted from service receiver to service provider. Please express your views in this regard. Thanks - .Clarification on Notification14/2014-ST-Reg. - Query Started By: - RAM SHARMA Dated:- 23-1-2017 Service Tax - Got 4 Replies - Service Tax - Discussion Forum - Knowledge Sharing, reply post by an exper ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t, personal opinion Tax Management India - taxmanagementindia - taxmanagement - taxmanagementindia.com - TMI - TaxTMI - TMITax ..... X X X X Extracts X X X X X X X X Extracts X X X X
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