Principles in Place of Supply of Service provisions based on European Directives

Principles in Place of Supply of Service provisions based on European Directives :

Principles in Place of Supply of Service rules are broadly based on European Union (EU) Directives. In Aktiebolaget NN v. Skatteverket (2012) 36 STT 264 = 22 175 (ECJ), it was observed that the purpose of the EU directives is to avoid conflicts of jurisdiction which may result in double taxation or non-taxation.
Thus, principle is to avoid doubt taxation or non-taxation. This has to be remembered while applying the provisions.