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GST Rules for supply to Customers via third party warehouse

Rules 1456 views 1 replies

paresh thakkar

7 Points Posted on 12 May 2017

As from 1st Jul-17, we will switch over to GST, I had a following query.

1) Our is manufacturing unit based in Haryana and we have third party warehouse in Haryana. Our Customer is in Haryana and Rajasthan.

Currently, we create manufacturing invoice with Customer name and keep some stock at third party warehouse and from warehouse it is supplied to Customer in Haryana and Rajasthan.

After GST implementation, do we need to create invoice with Customer name only or we need to register third party warehouse first and then create Invoice with the same and then warehouse will again generate invoice at their end with name of Customer and supply to Customer.

2) For the same case as mentioned above, if warehouse is in Haridwar then what will be the scenario.

Replies (1)

Uttam

employee

814 Points Posted on 14 May 2017

Based on the GST law, it looks like you have to take add that warehouse as your additional place of business and move goods from that location.

once you take the additional place of business then you can bill from your manufacturing location and supply from (Bill to ship to model) warehouse and clear goods to haryana and rajasthan.

2. if you have a warehouse in haridwar then you will have compliance cost of filing returns in that state. Rest is same.

My doubt in this scenario is : if everyone takes a registration or additional place of business then will the third party warehouse business will come to end. Also adding ewaybill i dont see they will be able to run their business of storing billed stock.