I have recently asked a query w.r.t. to liability of IGST or CGST+SGST in case of GTA service in the below case. But till today, I am very confused. My humble request to all the experts please guide met in below equation :- 1) GTA : Delhi based (Regd.), Supplier : Haryana, Recipient : Haryana (Freight paid by Supplier) 2) GTA : Delhi based (Regd.), Supplier : Haryana, Recipient : Haryana (Freight paid by Recipient) 3) GTA : Delhi based (Regd.), Supplier : Haryana, Recipient : Delhi (Freight paid by Supplier) 4) GTA : Delhi based (Regd.), Supplier : Haryana, Recipient : Delhi (Freight paid by Recipient) 5) GTA : Delhi based (URD), Supplier : Haryana, Recipient : Delhi (Freight paid by Supplier) 6) GTA : Delhi based (URD), Supplier : Haryana, Recipient : Delhi (Freight paid by Recipient)
15 October 2020
1) IGST, as per section 12 (8) of IGST Act, place of supply of services by way of transportation of goods to a registered person, shall be the location of such person, so the place of supply is Haryana and as per section 7 (3) of IGST Act, where the location of supplier and the place of supply are in two different states, it is considered as Inter-state supply, the GTA (the supplier) and the recipient (who makes payment) of the service are in different states, hence IGST to be charged.
15 October 2020
Simple rule -keep in mind in this case- Place of supply for GTA service- if recipient (who hires the GTA- it can be seller or buyer of the goods but for GTA service he is the recipient) is registered , then state of registered recipient. If recipient is unregistered then place of supply is the place (state) where goods are handed over to transporter. So now you can decide easily - if GTA and recipient in same state then CGST+SGST and if in different states then IGST.
CAclubindia
