Service Tax liability on development of Toolings

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... Sir, We have an export order for components. For the production of the components need to purchase Tools and development of tools . Payment of the tooling and Tooling development will be received in foreign currency from abroad. The said components will be used in production of the components in India and the said components will export. Now our query is that:- Do we need to service tax .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... on Tooling development cost, which develop in India by us, received in foreign currency OR Exempt from the payment of service tax under Export of Service Rules,2005 . - Reply By Ganeshan Kalyani - The Reply = If the process amounts to manufacture then excise duty is payable and if doesn't then service tax is payable. - Reply By YAGAY AND SUN - The Reply = In this matter you would have to ment .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ion the C.E. Duty on the amortised value of tooling while removing the inputs manufactured from such tooling for exports. - Reply By KASTURI SETHI - The Reply = Sir, In my view, in this case enjoyment of service or you may say performance is outside India, Service Tax is not required to be paid. Covered under Export of Service Rules, 2005 read with Place of Provision of Service Rules 201 .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... 2 . Also see Board's Circular No. 111/5/2009-ST dated 24.2.2009 and 141/10/2011-TRU dated 13.5.2011 - Service Tax liability on development of Toolings - Query Started By: - Pradeep Jain Dated:- 3-11-2015 Central Excise - Got 3 Replies - Central Excise - Discussion Forum - Knowledge Sharing, reply post by an expert, personal opinion Tax Management India - taxmanagementindia - taxmanagem .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ent - taxmanagementindia.com - TMI - TaxTMI - TMITax .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X