Hello Rodinhooders,
I wanted to get feedback from business persons / web businesses who are using services like web hosting from US and have to pay in USD in higher amounts.
We are using Amazon AWS for our web hosting and other services lik SES / Cloudfront / S3, etc, and our monthly billing is around USD 700-800 (approx Rs. 45,000 per month) and we pay directly via Credit Card.
We were approached by an Amazon AWS channel partner who advised us to opt for INR billing via them as it will help:
- Reduce the reserse tax burden on Service Tax. My CA informed me that, while AWS directly does not charge service tax, as an Indian entity, we should be paying tax for services taken even for non-Indian services. So this comes to additional 12.36% burden if we pay directly in USD to AWS.
- We can deduct TDS if we bill via them which we cannot do so currently.
What are you doing in this scenario? Any inputs? Also, does AWS offer INR billing?
Regards,
Ravi