TAX on supplies to other state dealer

A dealer in Maharashtra has to supply goods to a dealer regd in Karnataka..That dealer is receiving goods in maharashtra and will use in Maharashtra...As per rule IGST is to be charged but the purchasing dealer is asking for levy of CGST and SGST...can the selling dealer do that...
Replies (5)

Dear Prem,

IGST is not applicable. The place of supply is dependent on 2 aspects - the location of the supplier and the place of supply as per section 10 of IGST (for goods).

Section 10 - Where goods terminate for delivery, i.e. Maharashtra. As supplier and place of supply is same state, CGST & SGST applicable.

Note: Karnataka dealer, cannot claim such credit (in KA) unless he is also registered in Maharastra. 

if we charge CGST and SGST then whether it will be uploaded in GSTR 1 in B2B..showing other state regn NUMBER and place of supply maharashtra..

Yes, but you need to manually change the Place of Supply to Maharastra while filing GSTR-1.

Whether this is 3 party transaction Case? thn the piace of SUPPLY shall be the the principal place of business of 3td person.
refer Link below.

https://cleartax.in/s/place-of-supply-of-goods

Yes it could be possible. There requires to be 3 parties to the transaction. Bill-to Ship-to concept to be applied.

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