In exercise of the powers conferred by Sub-section (1) of Section 93 of the Finance Act, 1994 (32 of 1994), the Central Government, being satisfied that it is necessary in the public interest so to do, hereby exempts the taxable services provided by a consulting engineer to any person [OLD- to a client ] on transfer of technology from so much of the service tax leviable thereon under Section 66 of the to said Act, as is equivalent to the [OLD- amount of cess paid on the said transfer of technology under the provisions of Section 3 of the Research and Development Cess Act, 1986 (32 of 1986).] amount of cess payable on the said transfer of technology under the provisions of section 3 of the Research and Development Cess Act, 1986 (32 of 1986), subject to the following conditions, namely:-

(A) the said amount of Research and Development Cess is paid within six months from the date of invoice or in case of associated enterprises the date of credit in the books of account:

Provided that the exemption shall be available only if the Research and Development Cess is paid at the time or before the payment for the service;

(B) records of Research and Development Cess are maintained for establishing the linkage between the invoice or the credit entry, as the case may be, and the Research and Development Cess payment challan.

(Above contents from "amount of cess payable on ....................... Development Cess payment challan." has been substituted vide NTF. NO. 46/2011-ST, DT. 19/09/2011)

(In this Notification, the words "to any person" has been substituted vide NTF. NO. 23/2008-ST, DT. 10/05/2008)
 

Sd/-
(Suraksha Katiyar)
Under Secy.

F.No.177/4/2002-CX.-4