Santosh Kulkarni (Consultant) (32 Points)
07 May 2018Dear Patrons,
I have recieved invoice from vendor of labour supply for construction activity. Place of supply -Bangalore. Vendor Resgistered in West Bengal. He has charged GST @ 18% ( CGST+SGST). GST no of West Bengal mentioned on Invoice.
Request you to clarify as below:-
Thanks
CA Shivam Arora
(Chartered Accountant)
(2414 Points)
Replied 07 May 2018
1) No u cannot since invoice is wrong.
2) He will have to amend this invoice in GSTR-1 and then you can tax the IGST ITC.
3)He should charge IGST on such supply, since supplier and POS are in 2 different states. Ask him to rectify the invoice.
Madhukar N Hiregange
(Chartered Accountant)
(39034 Points)
Replied 07 May 2018
The supply of labour by the regd vendor to you another regd person in Bangalore ( place of recipeint - 2 (93)) for supply of labour is under default Section 12(2)(b) of IGST (POS) and even considered as in relation to immovable property( my opinion may not be so) would be Bangalore.
Vendor would have to charge IGST ONLY.
You may tell him to rectify and charge. If he does not he may get adeamnd tomorrow and you may not be able to avail the credit.
Automatically you would be eligible for the credit if he rectifies and gives you a fresh invoice.
Santosh Kulkarni
(Consultant)
(32 Points)
Replied 07 May 2018
Thanks so much for the update sir. Thank you
CAclubindia
