Service provided by foreign entities outside India not liable for service tax

Pakona Engineers India Pvt. Limited Vs Commissioner of Central Excise (CESTAT Ahmedabad) In a recent decision by the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) in Ahmedabad, it was ruled that Pakona Engineers India Pvt. Limited, a prominent machinery company, was not liable to pay service tax for services provided by a foreign service provider located outside India. This case brought up significant insights into the application of service tax on a reverse charge basis. The case revolved around a machine sold by Pakona Engineers to Europe, the service for which was provided by ...