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Whether Inter or Intra state supply

22 May 2018

Purchase goods from local party but delivery taken outside state . Both are registered party whether it is liable for IGSt or CGST/SGSt??

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6 Replies

Ravi SADhiyan (Practice) (4510 Points)
Replied 22 May 2018

Originally posted by : himanshi agrawal
	Purchase goods from local party but delivery taken outside state . Both are registered party whether it is liable for IGSt or CGST/SGSt??

Tax Apply on yhe basis of Place of Supply

So Apply IGST if Purchaser registered in another State

CA Sunil Kumar (Chartered Accountant) (4514 Points)
Replied 22 May 2018

As per POS rule, In this case POS is the location of goods delivered ( outside state). IGST will be charged in invoice.

1 Like

Dayananda Kakade (Deputy Manager -Finance) (328 Points)
Replied 22 May 2018

I think Tax should be based on bill to not ship to.

Ravi SADhiyan (Practice) (4510 Points)
Replied 22 May 2018

Originally posted by : Dayananda Kakade
	I think Tax should be based on bill to not ship to.

Dear Sir,

You have not transfer goods in another Sate if You have not charged IGST ( if Purchaser Registered in another Sate )

Vinod Babu (24191 Points)
Replied 22 May 2018

Yes. It is inter state supplies. So igst is applicable.

Vinod Kumar Lohia (Proprietor) (23 Points)
Replied 23 May 2018

It is a case of intra-state transaction. The consignor will raise a Tax Invoice charging IGST to the registered person on whose behalf the goods is supplied to the recipient and the seller (the local supplier) will raise a Tax Invoice charging CGST/SGST invoice to the recipient of the goods.