9911796707
TMI Blog2021 (4) TMI 559X X X X Extracts X X X X X X X X Extracts X X X X ..... S.G. Road, Thaltej, Ahmedabad, Gujarat-380054 is conducting a training programme called Exploring Potential Achieving Dreams popularly known as ePaD for Indian clients so far. The applicant has stated that they are planning to provide the same training to persons located out of India also; that it will be purely on Digital media and there is no physical movement of either of the party i.e. the supplier or recipient; that they provide service for improvement for experience of life and on positiveness so that their service is covered under Service Code 999293 i.e. commercial training and coaching services. 2. The applicant has stated that they are providing service to foreign client by way of digital means i.e. by way of Zoom Application and that these foreign clients can use their instruction on the same meeting id and password and also they are making payment to the bank account of the applicant in foreign convertible exchange; that they are collecting full course fees at the time of registration of participant; that the training programme is called Exploring Potential and Achieving Dreams popularly known as ePaD for Indian clients which will be purely on digital media an ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ections (3) to (13) shall be the location of the recipient of services. (iv) Section 13(5) of the IGST Act:- The place of supply of services supplied by way of admission to, or organisation of a cultural, artistic, sporting, scientific, educational or entertainment event, or a celebration, conference, fair, exhibition or similar events, and of services ancillary to such admission or organisation, shall be the place where the event is actually held. 3.1 The applicant has submitted that as per their opinion, their service is not falling under Section 13(5) of the IGST Act as they are not holding any event, conference, fair, exhibition or similar events so service provided by them through online mode will be export of service. The applicant have stated that in this case, place of supply will be the place of recipient of service i.e. foreign country and this service will be considered as export of service, hence this supply will be considered as zero rated supply and IGST will not be payable on this transaction. 4. Thereafter, in pursuance of the personal hearing held on 23.12.2020, the applicant has provided a detailed submission on the nature of services/brief abou ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... development. Epad is delivered through a participative group facilitative process. It involves understanding the Self through Spiritual and Scientific Lens. (12 half day weekly sessions.) ePos (per) (Leadership Excellence) 1 on 1 personal coaching session for leadership excellence. (25 weekly 2 hours sessions) ePad BIZ (Business Excellence) Conceptual know how and practice of financial management, People management, Sales and Marketing management and Operations management (25 half day weekly sessions) ePos (Org) (Organizational Excellence and Orbit Shift) Extensive process of organizational development for growth using multidimensional coaching.(1 year program) I Can I Will (Exploring Potential) Covering basic principles and exploration of potential and converting dreams into reality.(6 half day sessions) I Can I Will (Leadership in Action) Leadership Camp for young minds. (1 week in outdoor settings) I Can I Will (Team Building) Participative in house program for building a strong and understanding team member.(7 half day weekly sessions | 2 nights /3 days in outdoor setting) 6. The applicant has stated ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... bank account of the applicant in foreign convertible exchange and thereafter, the applicant will make payment on monthly basis to such person as a commission at a fixed percentage as mutually agreed between both of them after collection of fees from the participant chosen by his/her reference. The applicant has asked the following questions seeking Advance Ruling on the same: 1. Whether our service provided to recipient of foreign country will be considered as export and zero rated supply? 2. Commission paid to foreign agent who is non resident of India and he does not have any permanent establishment or business connection in India then what is liability of GST on such commission payable to foreign agent related to service provided out of India? 10. We will discuss both the aforementioned questions one by one, but before doing so, we would like to state here that during the course of personal hearing held on 23.12.2020, the representative of the applicant was asked to submit copies of the agreement/contract in respect of the aforementioned activities carried out/services provided by the applicant as stated at (i) and (ii) of para-9 above. However, no copies of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... by the applicant with respect to any goods or services or both amounts to or results in a supply of goods or services or both, within the meaning of that term. 11. From the above, we find that the provisions for seeking Advance Ruling made under the Act is limited to the activities conducted by the applicant only and is for the purpose of clarifying issues with regard to clauses (a) to (g) of sub-section(2) of Section 97 of the CGST Act, 2017 mentioned above. On going through the above provisions and comparing the same to the issue in hand, we find that the both the questions raised by the applicant do not fall within any of the clauses of (a) to (g) of Sub-section(2) of Section 97 of the said Act, i.e. they do not fall within the ambit of Section 97(2) of the said Act as both the questions are related to export of service which would also require the determination of place of supply of services which is not under the scope of jurisdiction of the Advance Ruling Authorities. In this context, we would like to refer to the following orders of the Maharashtra Appellate Authority for Advance Ruling: (i) Case of M/s. Asahi Kasei India pvt.ltd. {Order No. MAH/AAAR/SS-RJ/01/2019 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... questions are outside the ambit of the provisions of Section 97(2) of the CGST Act, 2017. (ii) Non-submission of copies of the contract/agreement in respect of the services provided/to be provided by the applicant on the issues discussed hereinabove. 13. In light of the above circumstances, we rule, as under R U L I N G Question-1: Whether our service provided to recipient of foreign country will be considered as export and zero rated supply? Answer : No answer is provided to the applicant M/s. Unlimited Unnati pvt.ltd., 33, New York Tower-A, 3rd floor, S.G. Road, Thaltej, Ahmedabad on the following grounds: (i) The question is outside the ambit of the provisions of Section 97(2) of the CGST Act, 2017. (ii) Non-submission of copies of the contract/agreement in respect of the services provided/to be provided by the applicant on the issue discussed hereinabove. Question-2: Commission paid to foreign agent who is non resident of India and he does not have any permanent establishment or business connection in India then what is liability of GST on such commission payable to foreign agent related to service provided out of India? Answer :. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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