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TMI Blog2015 (5) TMI 739X X X X Extracts X X X X X X X X Extracts X X X X ..... termines where the service has been rendered. In the present case, the service recipient is located outside India and therefore, the service has been rendered outside India. In other words, it is a export transaction. - decisions of this Tribunal in the case of Gap International Sourcing (India) Pvt. Ltd. [2014 (3) TMI 696 - CESTAT NEW DELHI] Paul Merchants Ltd. [2012 (12) TMI 424 - CESTAT, DELHI (LB)], Microsoft Corporation India Pvt. Ltd. [2014 (10) TMI 200 - CESTAT NEW DELHI (LB)], etc. would squarely apply - Decided in favour of assessee. - Appeal No. ST/88247/14 - - - Dated:- 12-2-2015 - M V Ravindran, Member (J) And P R Chandrasekharan, Member (T),JJ. For the Petitioner : Shri M P Baxi, Adv. For the Respondent : Shri D V ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... dingly, a show-cause notice dated 21/10/2013 was issued to the appellant proposing to classifying the services under BAS and demanding service tax thereon for an amount of ₹ 9,12,11,220/-. The said notice was adjudicated upon vide the impugned order and demands were confirmed and the penalties imposed. Hence, the appellant is before us. 4. The learned Counsel for the appellant submits that the transaction undertaken by the appellant is one of exports and therefore, no service tax is payable. It is their contention that the activity of procuring orders for their foreign principals on commission basis amounts to export of services under Rule 3(1) (iii) of the Export of Service Rules, 2005. Inasmuch as the service recipient is located ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... olding the impugned order and dismissing the appeal. 6. We have carefully considered the submissions made by both the sides. 6.1 We find that an identical issue arose for consideration before this Tribunal in the case of Microsoft Corporation (I) (P) Ltd. The question for consideration was whether the market development operations undertaken by the agent in India for the foreign principal would be liable to service tax under the category of BAS or not. In a majority decision, the Tribunal concluded that though the service was of sale of a product in India, it was an export of service as the recipient of the service was a foreign company and convertible foreign exchange has been received in India for the services rendered. The same vie ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ted abroad and such services were provided from India and used outside India. Thus all the conditions of export have been satisfied and therefore, we have no hesitation in concluding that the activity involved in the present case is one of exports which is not taxable. Even as per the place of Provision of Service Rules 2012, it is the place of service recipient which determines where the service has been rendered. In the present case, the service recipient is located outside India and therefore, the service has been rendered outside India. In other words, it is a export transaction. 7. In this view of the matter, we find that the decisions of this Tribunal in the case of Gap International Sourcing (India) Pvt. Ltd. Paul Merchants Ltd., ..... X X X X Extracts X X X X X X X X Extracts X X X X
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