usa to india

[Asked by Guest]

When I ship commercial goods form USA to Indian Firm do I need to register for GST

[Alkesh Jani]

Sir,

In terms of Section 7(2) of IGST Act, 2017, which reads as follows:-

“(2) Supply of goods imported into the territory of India, till they cross the customs frontiers of India, shall be treated to be a supply of goods in the course of inter-State trade or commerce”.

In view of above, Import of goods shall be treated as “inter-State trade or commerce”.

Further, Section 24 (i) of the CGST Act, 2017, which stipulates for compulsory registration.

On conjoint reading, I am of the view that, importer of goods and/or services are required to register under GST.

Our experts may correct me if mistaken.

Thanks

[YAGAY and SUN]

Since you are sending goods from USA to an Indian Firm, therefore in our view the Jurisdiction of Indian GST Laws is only limited till India only. Hence, you need not to get registration under India GST Laws.

As well said by Mr. Jani that an Indian Importer is under Statutory requirement to get the registration under GST Laws, Customs Laws (for BIN) and with DGFT for IEC.

AI Summary

GST registration: foreign exporter not required when shipping goods to an Indian firm; Indian importer must register under GST.
The central operative position is that imported goods are treated as supplies in the course of inter State trade or commerce and statutory registration obligations attach to the importer; a contrasting practical view is that the foreign supplier need not obtain Indian GST registration where goods are sent to an Indian firm, and the Indian importer must obtain GST registration and satisfy customs and foreign trade registration requirements.