KBN Inc., a readymade garment manufacturing company based in UK, intends to launch its new fashion collection products in India. However, the company wishes to know the fashion sense of Indians before launching its produ

As per section 13(2) of the IGST Act 2017, in case where the location of the supplier of services or the location of the recipient of services is outside India, the place of supply of services except the services specified in sub-sections (3) to (13) shall be the location of the recipient of services. Sub-sections (3) to (13) provide the mechanism to determine the place of supply in certain specific situations. The given case does not fall under any of such specific situations and thus, the place of supply in this case will be determined under sub-section (2) of section 13. Thus, the place of supply of services in this case is the location of recipient of services, i.e. UK. As per section 2(6), export of services means the supply of any service when,- the supplier of service is located in India; the recipient of service is located outside India; the place of supply of service is outside India; the payment for such service has been received by the supplier of service in convertible foreign exchange or in Indian rupees wherever permitted by the Reserve Bank of India; and the supplier of service and the recipient of service are not merely establishments of a distinct person in accordance with Explanation 1 in section 8. Since all the above five conditions are fulfilled in the given case, the same will be considered as an export of service.