TIOL-DDT 2994 · Tuesday, 20 December 2016 · story 1 of 7

Service Tax - Online Invoice without Digital Signature

GOVERNMENT has amended the Service Tax Rules to to allow a person located in non taxable territory providing online information and database access or retrieval services to a non-assessee online recipient to issue online invoices not authenticated by means of a digital signature for a period upto 31st January, 2017.

Rule 4C(1) of the Service Tax Rules reads as:

Any invoice, bill or challan issued under rule 4A or consignment note issued under rule 4B may be authenticated by means of a digital signature .

Now, a proviso is added to this sub-rule:

'Provided that a person located in non-taxable territory providing online information and database access or retrieval services to a non-assessee online recipient located in taxable territory may issue online invoices not authenticated by means of a digital signature for a period upto 31st January, 2017'

Incidentally, cross border business to consumer [B2C] OIDAR [online information and database access or retrieval]services provided by a foreign service provider to a person in India has become taxable from 1st December, 2016 onwards. For more see and 2982.

Notification No. , Dated: December 19, 2016

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