Pankaj Rawat
(GST Practitioner)
(55047 Points)
Replied 03 August 2019
Lalit Goenka
(GST Practitioner)
(117 Points)
Replied 03 August 2019
Pankaj Rawat
(GST Practitioner)
(55047 Points)
Replied 03 August 2019
pradeep goyal
(Senior Partner)
(7561 Points)
Replied 03 August 2019
where location of supplier of transport service (transporter) is in Delhi and place of supply is in haryana (As you also agree) tha how come CGST & SGST, it is inter-state transaction- IGST will be charged. what is confusion?
Lalit Goenka
(GST Practitioner)
(117 Points)
Replied 03 August 2019
Originally posted by : Pankaj Rawat | ||
@ Lalit I think you should refer above section 12(8) IGST carefully , you will get the reply to your query. |
As per your logic, below is the conclusion -
Registered Supplier (Delhi) sents goods to Registered Buyer (Haryana) through Unregistered GTA (Delhi). Freight is paid by the supplier then IGST is applicable.
Registered Supplier (Delhi) sents goods to Registered Buyer (Haryana) through Unregistered GTA (Delhi). Freight is paid by the buyer then CGST + SGST is applicable.
Lalit Goenka
(GST Practitioner)
(117 Points)
Replied 03 August 2019
Hi All,
Please let me know one thing, how do we determine whether IGST or CGST/SGST should be applicable for a supply? Based on Location of Supplier & Place of Supply or Based on Location of Recipient & Place of Supply or Based on Place of Supply only?
Also, In Section 12 or 12(8), it is not mentioned that it will determine the nature of supply. If mentioned please share. It is Section 7 which defines how to determine the nature of supply.
I am very clear with the fact that nature of supply is determined based on Location of Supplier & Place of Supply. So, this supply comes under Inter State Supply.
pradeep goyal
(Senior Partner)
(7561 Points)
Replied 03 August 2019
you are right, I do not know why people so confused about such a clear provisions.
Satya N Dharani
(Finance Professional)
(491 Points)
Replied 03 August 2019
dear Lalit ji,
kindly refer Mr.Pankaj ji reply, there is two sections for RCM
1) sec 9(3) - for services which is in force
2) sec 9(4)- for Goods which is suspended permanently
you are once again refer sec 12(8) of IGST act.
Lalit Goenka
(GST Practitioner)
(117 Points)
Replied 03 August 2019
Mr. Sathya,
Section 9(3) or 9(4) will come into picture when Location of Supplier and Place of Supply is in Same State. We are talking about Inter State Supply.
Also, I am referring to Section 12(8), since it is being told in the earlier post that CGST/SGST would be charged as per Section 12(8). (Kindly go through the post to understand the debate.)
Pankaj Rawat
(GST Practitioner)
(55047 Points)
Replied 03 August 2019
Dear Lalit
Chapter IV of IGST ACT Determine the Nature of Supply which include Sections 7,8,9 & Chapter V Determines the Place of Supply. so the GST is applicable as per Place of supply.
Place of Supply is determined with the help of General/default or Specific rule of place of supply. The General rule determine the POS with respect to the location of recipient , The specfic rule determines the place of supply with respect to specific rules applicable to the specific situation
Now if we refer Section 12(2) (general rule ) the place of of supply of services, except the services specified in sub-section (3) to (14) , means its applicable when general rule will be applicable only when condition/situation not cover under specific sub section (3) to (14)
Hence as the query cover under 12(8) & as per the the same the POS is the Recepient Place.
Now lets take an example :
sale to SEZ unit with in state , its IGST is Applicable (why its IGST when its in Same State, because an specific section 8 prescribe its Export/Interstate when sold to Sez)
As per new amendment act 31,2018, get effective from 1.2.19
The Courier co. will charge IGST for the courier expenses for delivering goods Outside india to Supplier (Even though both the courier co. & the supplier are in same state)
So in Short GST is destination based Tax or consumption based tax, but same is govern and applicabiltiy of GST levy is according to the section prescribed in Law
Pankaj Rawat
(GST Practitioner)
(55047 Points)
Replied 03 August 2019
CHAPTER V INCLUDES SECTION 10 TO 14
Lalit Goenka
(GST Practitioner)
(117 Points)
Replied 03 August 2019
Pankaj Ji,
Please help me with this questions to clarify my doubts:
If a registered GTA does the same supply then IGST is charged or not when GTA charges GST in the invoice?
If a registered GTA does the same supply then IGST is charged or not when GTA issues the invoice mentioning GST payable under reverse charge?
Pankaj Rawat
(GST Practitioner)
(55047 Points)
Replied 03 August 2019
yes when GTA is Registered then IGST is applicable
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