F. NO. 137/50/2009 – CX. 4
Government of India
(Central Board of
Excise & Customs)
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New Delhi, the 30th
October 2009
Subject:
Leviability of service tax on Tour operator service
in connection with Haj & Umrah
pilgrimage – reg.
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On
a reference received by the Board the matter regarding leviability
of service tax on tour operator service in connection with Haj
& Umrah Pilgrimage was examined.
The
amount charged to the pilgrims in India undertaking Haj
and Umrah pilgrimage, is for services provided by the
Government of Saudi Arabia and the tour takes place outside India. As per Rule 3 (1) (ii) of the Export of
Services Rules, 2005, (Circular No. 111/05/2009 – ST dated 24.02.2009), the
service in respect of tour operator is export if such service is performed
outside India. It is also provided therein that where such taxable service is
partly performed outside India, it shall be treated as performed outside India.
Therefore, it is clarified that service tax is not chargeable on the services
provided in respect of tour undertaken for carrying out Haj
and Umrah Pilgrimage in Saudi Arabia by Indian
pilgrims considering these as export of service, provided they fulfill the
other conditions of export as provided in Export of Service Rules.
Yours faithfully
(Himanshu Gupta)
Commissioner (Service Tax)
CBEC, New Delhi