AAR rules that provision of business support services to US affiliate are naturally bundled and are not intermediary services

This alert is on a recent ruling of the AAR, wherein the Applicant has to provide certain services on principal to principal basis to US based entity (US Co.) to develop the brand of the US Co. in India.

In this regard, the AAR observed that the provision of services by the Applicant to US Co. are export of naturally bundled services and hence, the same would not attract Service tax