Supply

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NITIN KOTAK (SERVICE) (1465 Points)
Replied 13 August 2017

Balaji you are wrong, in this case, bayer does not have any establishment at maharashtra, so as per rules deemed to be place of supply is Andhra pradesh, suppose charge CGST and SGST of maharashtra, how can claim the Andhra pradesh party. Wrongly tax define fall in to tax liability and with 24,% interest and claim for refund.

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Purnima (Professional) (289 Points)
Replied 13 August 2017

@ CA Akhilesh Sir...

Say for e.g. ABC Ltd of Delhi delivers goods to RBNL Ltd (Branch) of Delhi on the instructions of RBNL Ltd (corporate office) of Mumbai. Here no doubt ABC Ltd will charge IGST on the supply.

But will RBNL Ltd (Mumbai) be also charging IGST to its branch in Delhi?If yes then whats the logic behind bill to ship to model as ultimately taxes are moving to delhi and the same would happen even if ABC Ltd charge CGST/SGST directly to RBNL Ltd delhi?Also will there be any change in tax liability of second transaction as it involves supply between distinct person?

RAJA P M ("Do the Right Thing...!!!") (128101 Points)
Replied 13 August 2017

@ Madam Purnima.,

What is your exact reply this query...?

Is it CGST+SGST or IGST...?

Please....Reply

CA Akhilesh Kumar Kandpal (Proprietor A K Kandpal & Associates) (1442 Points)
Replied 13 August 2017

answer to first question is yes rnlb mumbai will have to charge igst from rnlb delhi becoz in act both have registered under different states hence will be considered distinct person ......if you bill directly to rnlb delhi, then bill to ship to model will not apply as billing and shipping is made to same person....however if rnlb wants bill to be in the name of rnlb mumbai, then only bill to ship to model will apply.....

1 Like

Tarun Shah (264 Points)
Replied 13 August 2017

if i charge cgst in bill then . andhra pradesh dealer eligible for claim this itc.

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NITIN KOTAK (SERVICE) (1465 Points)
Replied 13 August 2017

No, can't claim

CA Akhilesh Kumar Kandpal (Proprietor A K Kandpal & Associates) (1442 Points)
Replied 13 August 2017

first it will be wrong.....second andhra pradesh dealer cannot take credit as cgst and sgst paid in andhra pradesh can only be claimed as credit by andhra dealers....however igst paid anywhere can be claimed anywhere against any type of liability....

1 Like

NITIN KOTAK (SERVICE) (1465 Points)
Replied 13 August 2017

CA Akhilesh Kumar Kandpal

NITIN KOTAK (SERVICE) (1465 Points)
Replied 13 August 2017

CA Akhilesh Kumar Kandpal

NITIN KOTAK (SERVICE) (1465 Points)
Replied 13 August 2017

CA Akhilesh Kumar Kandpal, you are right sir, also wrong tax obligation for payment and refund case.

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CA Akhilesh Kumar Kandpal (Proprietor A K Kandpal & Associates) (1442 Points)
Replied 13 August 2017

I never said anything about refund than how can I be wrong?
Please tell me where am I wrong in case of obligation.

NITIN KOTAK (SERVICE) (1465 Points)
Replied 13 August 2017

You are right sir, in define place of service, my meaning to say, if assesses pay SGST and CGST instead of IGST, than assesses has to pay IGST and go for refund of SGST and CGST, I believe now you understand my stand.

CA Akhilesh Kumar Kandpal (Proprietor A K Kandpal & Associates) (1442 Points)
Replied 13 August 2017

who will pay the refund....cgst and sgst paid in delhi......hence sgst portion will go to delhi government.....now how the andhra dealer can ask for refund from andhra government if tax on input is paid to delhi government.......

Purnima (Professional) (289 Points)
Replied 22 August 2017

Can bill to ship to model be made applicable in case of services also?say for e.g service provider(bhopal) biiled to service recipient XYZ Ltd(bhopal) for the services provided in XYZ Ltd mumbai and accordingly charged cgst and sgst.Is levy of gst correct?Further will XYZ Ltd (bhopal) raise tax invoice to XYZ Ltd (mumbai)?