Place of supply goods

Page no : 2

Rajendra Prasad (Employee Private) (1901 Points)
Replied 05 July 2022

Here IGST only will apply. Haryana dealer has to generate Tax Invoice in Bihar dealer's name and will deliver the same in Haryana. In continue, the Bihar dealer has to generate Tax Invoice to the dealer where the goods has been delivered with IGST.

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CA Rashmi Gandhi (Chartered Accountant) (86461 Points)
Replied 05 July 2022

Read place of supply rules.

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Rajendra Prasad (Employee Private) (1901 Points)
Replied 06 July 2022

Please re produce here the said rules.

CA Rashmi Gandhi (Chartered Accountant) (86461 Points)
Replied 08 July 2022

Section 10(1)(a) of the IGST Act– where Supply involves Movement of Goods; > Movement by any person i.e. Supplier, Recipient or Any Other Person: > Place of Supply of such goods shall be the location of goods at the time at which the movement of goods terminates for delivery to the recipient;

Rajendra Prasad (Employee Private) (1901 Points)
Replied 08 July 2022

This provision will apply for the transactions which, the delivery of goods has been taken place by supplier at his place of business. Means goods terminates for delivery to the recipient.

If any customer came to the supplier for goods and given other state GSTIN and taken hand delivery at suppliers place, here supplier has to charge CGST and SGST as he is not aware about of place of consumption of the said goods.

Not for the transactions which has been delivered by supplier to recipient directly.

And also in this transaction if the Haryana dealer charged CGST and SGST in his Tax Invoice which has been generated on Bihar dealer, then Bihar dealer is not eligible to avail input credit.

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CA. ANKIT PANDYA (CA) (682 Points)
Replied 08 July 2022

It's clear case of Bill to / Ship to transaction. IGST will be applicable.

when consideration for the said delivery is going to be paid party in Bihar and invoice is also going to be raised on him, IGST is to be applied.

CA Rashmi Gandhi (Chartered Accountant) (86461 Points)
Replied 08 July 2022

Still stands on my view. Will attach flier of GST department for your clarification.

CA Altamush Zafar (GST Consultant) (15986 Points)
Replied 12 July 2022

If the delivery is being done in Haryana at a different premises from yours on the instruction of the buyer in Bihar then IGST will be charged otherwise CGST/SGST will be charged