Page 143 - GSTL_20th August 2020_Vol 39_Part 3

2020 ] IN RE : HALLIBURTON OFFSHORE SERVICES INC. (DRILL BITS) 357
(a) services supplied by a banking company, or a financial institu-
tion, or a non-banking financial company, to account holders;
(b) intermediary services;
(c) services consisting of hiring of means of transport, including
yachts but excluding aircrafts and vessels, up to a period of
one month.”
This provision makes it clear that place of supply of Intermediary Services would
be the location of the supplier of services i.e., in the instant case, it is nothing but
the location of the applicant.
Coming to the determination of the tax, ‘Intermediary Service’ is covered
under Section 7(5)(c).
“(5) Supply of goods or services or both, -
(a) when the supplier is located in India and the place of supply is
outside India;
(b) to or by a Special Economic Zone developer or a Special Eco-
nomic Zone unit; or
(c) in the taxable territory, not being an intra-State supply and not
covered elsewhere in this section,
shall be treated to be a supply of goods or services or both in the course of
inter-State trade or commerce”.
In the instant case the intermediary services are provided to the recipient located
outside India and the Inter-State provisions as contained under Section 7(5)(c)
shall be applicable and hence IGST is payable under such transaction.
7. In view of the foregoing, we pass the following.
RULING
Question 1 : Whether the services supplied by the applicant are liable
under export or service or not?
Answer 1 : The services in question are not ‘Export of Service’ but ‘In-
termediary Services’ for the reasons explained above and
attract IGST.
_______
2020 (39) G.S.T.L. 357 (A.A.R. - GST - A.P.)
BEFORE THE AUTHORITY FOR ADVANCE RULING UNDER GST,
ANDHRA PRADESH
S/Shri D. Ramesh, Member (State Tax) and M. Sreekanth,
Member (Central Tax)
IN RE : HALLIBURTON OFFSHORE SERVICES INC. (DRILL
BITS)

AAR No. 07/AP/GST/2020, dated 25-2-2020
Import - Drill bits imported for supply to ONGC at its location in
India on consumption basis - Applicant importing drill bits by themselves as
importer - And undertaking to supply drill bits to delivery location of ONGC
on consignment basis, i.e., sale on approval basis with applicant responsible
for transportation and insurance till delivery - Post-import activity of applicant
fell within the scope of inclusive portion of expression “supply” under Section
7(1)(a) of Central Goods and Services Tax Act, 2017 - Such supply taxable de-
GST LAW TIMES  20th August 2020  143