Place of supply determined as foreign destination makes transportation services inter-state and IGST credit claimable subject to input credit conditions. When both supplier and recipient are in India but goods are transported to a place outside India, the place of supply is the foreign destination; the supply is an inter-State supply attracting integrated tax, and the recipient in India may claim input tax credit of that integrated tax subject to the statutory eligibility and apportionment/blocked-credit conditions. The supplier must report the place of supply as foreign in the outward supplies return.