The Central Board of Excise and Customs (CBEC) has issued circular on 20.04.2011 clarifying the Service tax liability on assistance provided by Visa facilitators to individuals for obtaining Visa. On examination of the issue, the CBEC clarified that the visa facilitators directly assists the individuals to procure visa and does not act on behalf of the embassies. Hence there is no relationship of Principal and Agent. Hence same cannot be considered as Business Auxiliary Service. The same cannot be considered as support service for business or commerce and such services does not fall under section 65(105) of the Finance Act, 1994 and service tax is not attracted.
