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place of supply

22 June 2019

An entity (authorised dealer of Maruti) charges CGST & SGST on sale of car irrespective of the address on the buyer ,I strongly believe that if the unregistered person provides the address proof (which indeed is compulsory for purchase of car) then the POS shall be the location of such person and according CGST/SGST or IGST shall be charged, however the bill is generated from a integrated software provided by Maruti and it specify the location to be as Delhi itself(i.e location of supplier)

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4 Replies

Deepak Gupta (CA Student) (15927 Points)
Replied 22 June 2019

If delivery of car is:

taken by the customer at the showroom itself, CGST+SGST will be applicable.
made by the dealer at the location of the customer, IGST will be applicable.

Sec. 10(1)(a) of IGST Act read with Sec. 2(96) of CGST Act

Rahul Goel (3 Points)
Replied 22 June 2019

As per section 10(1) place of supply in case of movable goods is where the movement of terminates either by the supplier or by the customer itself , shouldn't it be the permanent address of the customer which is mentioned on the bill.

Ravi SADhiyan (Practice) (4510 Points)
Replied 22 June 2019

If Customer give his Address than GST tax apply according to Place of Recipient

Pankaj Rawat (GST Practitioner) (55062 Points)
Replied 22 June 2019

Yes I agree with Mr. Rahul Goel ...

If we read section 10(1)(a) where the supplies involves movement of Goods , Whether by Supplier or THE RECEPIENT.......

here it's even though the Maruti dealer is has delivered the car to buyer in his premises but the POS will be the place where the Recepient moving the goods means the place of Recepient .

As per Rule 46 , the registered person is required to mention POS along with the name of state & as per querist the Buyer has provided his address to Maruti dealer 2ndly As per Rule 138 of e-way bill , it picks IGST automatically when POS is Interstate.

So , if the Buyer is from other state , the Maruti dealer has to put the state in bill & accordingly the IGST will be levy in the same