Promotion and Marketing Services not “Intermediary Services”: CESTAT allows benefit of export of services

The CESTAT has ruled that promotion and marketing services provided to foreign clients do not qualify as intermediary services and are thus eligible for the benefit of export of services. This decision provides clarity on the classification of such services, ensuring that they are rightly treated under the export of services category, which allows for tax benefits. The tribunal's ruling helps businesses better understand their tax liabilities and the benefits they can avail under the current legal framework.