TIOL-DDT 619 · Wednesday, 23 May 2007 · story 10 of 12

Classification of New Service for Exports and Imports

There are three categories:

For Export:

Category 1. Service provided in relation to immovable property situated outside India;
Category 2. Service performed outside India partly or wholly
Category 3. Service provided to a recipient located outside India

For Import:

Category 1. Service provided in relation to immovable property situated inside India
Category 2. Service performed in India party or wholly
Category 3. Service provided to a recipient located inside India

The new services can be categorised as under

Sr. No.

Name of Taxable Service

Sub-clause of section 65(105)

Export of Services Rules, 2005

Taxation of Services (Provided from Outside India and Received in India) Rules, 2006

1.

Telecommunication service

zzzx

Category 3

Category 3

2.

Mining of mineral, oil or gas

zzzy

Category 1

Category 1

3.

Renting of immovable property

zzzz

Category 1

Category 1

4.

Works contract service

zzzza

Category 1

Category 1

5.

Development and supply of content

zzzzb

Category 3

Category 3

6.

Asset management

zzzzc

Category 3

Category 3

7.

Design services

zzzzd

Category 3

Category 3