The GST Council has proposed changes to make it easier for Indian businesses to qualify for export-of-services benefits, including certain services supplied through overseas branches and work performed in India for foreign customers.
The GST Council has recommended important changes to remove GST obstacles faced by Indian service exporters.
An Indian business supplying services to an overseas customer through its own foreign branch is proposed to become eligible for export treatment by removing the existing restriction relating to establishments of the same legal person.
The Council has also proposed export treatment for certain services such as testing, repair, certification, research and processing carried out in India on goods belonging to foreign customers, subject to the prescribed conditions.
The changes could benefit sectors such as IT-enabled services, engineering, consultancy, research, testing and other internationally supplied professional services. CA Sansaar