Impact of GST on Service Provided in Third Country

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... Impact of GST on Service Provided in Third Country
Query (Issue) Started By: - Lokesh Kumar Dated:- 8-9-2017 Last Reply Date:- 12-9-2017 Goods and Services Tax - GST
Got 8 Replies
GST
This year in the month of April I went to Belgium to attend a trade show, there I met an exporter from Cuba and introduced them to an importer in Taiwan. The Cuban exporter has started shipping cargo dir .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ectly to the Taiwanese importer. The Taiwanese importer has committed to pay us USD 2500 per consignment for introducing them to the Cuban exporter. Will there be any GST on the payment which we may receive on such transactions? Kindly note the following: * Exporter is from Cuba: Not in India * Importer is from Taiwan: Not in India * Service provided in Belgium: Not in India * Money rece .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ived: In US Dollar in India Reply By KASTURI SETHI: The Reply: Not taxable. Reply By MARIAPPAN GOVINDARAJAN: The Reply: In my view it is taxable since you are having place in India and you receive the commission in India. Experts views are solicited. Reply By Kamal Arora: The Reply: Under the provisions of IGST, the place of supply in case of intermediary is considered to be the location of .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... the service provider, which in your case is in India and hence taxable. Reply By Ganeshan Kalyani: The Reply: The service is not provided from India. The service of introducing the parties happened out of taxable territory. Only payment is being received in India. In what way it will be considered as service provided in India. I agree with Sri Kasturi Sir. It is not taxable. Reply By KASTURI S .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ETHI: The Reply: Here place of Supply is outside India and not in India. Only foreign currency received in India. Definitions of place of Supply in IGST Act are at variance depending upon situation of each case. There is also no intent of Govt. to levy tax on receipt of foreign currency in India. So many factors are involved to arrive at exact place of supply. Reply By Lokesh Kumar: The Reply: .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... Thank you sir Reply By KASTURI SETHI: The Reply: 'Consideration' cannot be treated as 'Supply' and vice versa. Both have separate legal status/definitions. Reply By Ganeshan Kalyani: The Reply: Sri Mariappan Sir, i agree with you from an Income Tax point of view. Thanks.
Discussion Forum - Knowledge Sharing .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X