Question7:
I am service industry based in Noida having LUT for export of service. I
performed health check service in haryana (Indian company) for Mauritius based
co. While raising invoice to Mauritius based company, should I charge igst or
it's export of service so that we can invoice without GST (having LUT)
Answer:
In your case the service provider is in India and the recipient is in Maurituis
so you should go through Section 13 of IGST Act This will apply as follow
Section 13: Place of supply of services where location of supplier or location
of recipient is outside India.
(1) The provisions of this section shall apply to determine the place of supply
of services where the location of the supplier of services or the location of
the recipient of services is outside India.
(2) The place of supply of services except the services specified in
sub-sections (3) to (13) shall be the location of the recipient of services:
Provided that where the location of the recipient of services is not available
in the ordinary course of business, the place of supply shall be the location of
the supplier of services.
(3) The place of supply of the following services shall be the location where
the services are actually performed, namely:'
(a) services supplied in respect of goods which are required to be made
physically available by the recipient of services to the supplier of services,
or to a person acting on behalf of the supplier of services in order to provide
the services: Provided that when such services are provided from a remote
location by way of electronic means, the place of supply shall be the location
where goods are situated at the time of supply of services: Provided further
that nothing contained in this clause shall apply in the case of services
supplied in respect of goods which are temporarily imported into India for
repairs and are exported after repairs without being put to any other use in
India, than that which is required for such repairs;
(b) services supplied to an individual, represented either as the recipient of
services or a person acting on behalf of the recipient, which require the
physical presence of the recipient or the person acting on his behalf, with the
supplier for the supply of services. The export of service is defined in section
2(6) of IGST Act as follow
6) 'export of services' means the supply of any service when,''
(i) the supplier of service is located in India;
(ii) the recipient of service is located outside India;
(iii) the place of supply of service is outside India;
(iv) the payment for such service has been received by the supplier of service
in convertible foreign exchange; and
(v) the supplier of service and the recipient of service are not merely
establishments of a distinct person in accordance with Explanation 1 in section
8; So you should charge IGST it is not export the place of supply is in India
(Reply dt.09/11/2017)