Gst on mobilization advance

This query is : Resolved

kiran (Querist)
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08 February 2018 Sir,
According to point of supply, GST has to be charged at the time of receipt of advance.Will mobilization advances also be covered under this advance definition.Shall we have to charge GST on that mobilization advance also?
Note : This advance is purely for the supply of service.
Please do the needful
Regards,
Kiran

RAJA P M

RAJA P M (Expert)
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08 February 2018 Yes... GST is applicable for the Service advance and Payable....

Also explain yourself for the mobilization...

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kiran

kiran (Querist)
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08 February 2018 Sir,
The company has initial received Rs.1,00,00,000/- as mobilization advance for the acquisition of necessary supplies to discharge the service, supported by the bank guarantee. Later equal part of Rs.10,00,000/- has been used against each invoice issued each month.
In this case, will GST to be charged on this advance amount or not?
Regards,
Kiran

RAJA P M

RAJA P M (Expert)
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08 February 2018 Yes... GST will be charged and Payable on Advance.

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