Service tax and miscellaneous

My father, a former PSU employee, a retired pensioner currently, wants to start domaining (buying and selling domain names).Here are some links regarding domaining for your reference: Link 1: Link 2: 1) From the initial research that I have done on the internet, it seems that domain name (without webhosting) is an intangible entity and hence selling the same qualifies as providing “service” so that service tax may apply. Am I right; or should this be treated as “goods” so that sales tax, VAT, etc. may apply? 2) [Assuming this is service] here is what I know (correct me if I am wrong): a) Import export code will be needed as he will be purchasing domain names from foreign providers. b) When he buys domain names from a foreign provider that does not charge service tax, he will be liable to pay the same via reverse charge mechanism no matter how small the amount. c) If domain name sale satisfies the conditions for “export of services” then no forward charge service tax liability will be applicable. d) Otherwise, service tax would be applicable on forward charge basis if yearly income from domaining crosses Rs. 10 lakh. 3) Here is what I want to know: a) If he applies for service tax registration now should he enroll for gst migration right after getting service tax registration? In that case, will service tax (reverse, forward) provisions apply for all domaining related activities done prior to official gst implementation that’s expected sometime later this year? b) For reverse charge service tax it would be taken as if the service receiver is the provider of services for the purpose of this transaction. Will this have any implications on income tax ie will the service receiver need to add the amount of the transaction to his income as he is being considered service provider for this transaction? Or is this provision limited exclusively to the ambit of service tax? c) When a domain is sold in a domain marketplace [like (1) , (2)], they typically charge/deduct a commission on the sale price of domain name and the seller earns the rest. In that case, given that the marketplace is a foreign company that does not charge service tax, will he once again be liable to pay the same via reverse charge? If yes, then should the service tax on reverse charge basis in this case be calculated on the amount deducted as commission? Also, if the amount involved is in foreign currency (US dollars) would service tax be calculated by taking conversion rate on that day? d) When a domain name is sold in the marketplace, some just provide a receipt stating the amount they deducted as commission and the amount the seller earns after deduction without providing buyer details so that “export of services” criteria cannot be fulfilled. Some other marketplace, just mention “sold to a buyer in XYZ place (e.g. Rio de Janeiro, Brazil)”. In the latter case will such a receipt mentioning the country of the buyer suffice to classify this as “export of services” provided that the amount is earned by the seller in convertible foreign currency; or will a detailed receipt be required that mentions the name, full address of the buyer? e) Will professional tax apply to domaining income? [I know this is a state tax and the amount paid can be deducted from the total income tax liability.] f) Any other tax, direct or indirect, that applies (other than income tax, professional tax if that is applicable)? g) Should the income from domaining come under “Income from business or profession” or “Income from other sources.” Or can this be put under either heading? h) If he is earning in convertible foreign currency, say US dollars, any other provisions (like FEMA regulations) that he needs to be aware of? If yes, please elaborate. i) Any other compliance liability that would apply (eg. Auditing the bank accounts)? j) Will this be treated as “Sole proprietorship”? If yes, then any advantage/other compliance that he needs to be aware of that sole proprietorship model may attract?