Place of supply

[Kaustubh Karandikar]

XYZ (Gurgaon) supplying goods to PQR (Maharashtra). Delivery to PQR at Gurgaon since contract ex – works. PQR arranging transporter for taking delivery from Gurgaon and goods delivered to ABC (customer of PQR in Gurgaon).

1) Is PQR required to take registration under casual tax payer at Gurgaon?

2) If not, XYZ to charge PQR, IGST or CGST in this transaction?

3) PQR to charge IGST or CGST to ABC?

[KASTURI SETHI]

In my view, XYZ will charge IGST from PQR and PQR will charge IGST from ABC. PQR is to be registered.

[CASusheel Gupta]

Goods delivered at Gurgaon, movement terminates at Gurgaon, IMO it is intra state and C+S leviable.

CA Susheel Gupta

9811004443

[SHIVKUMAR SHARMA]

In this case Place of Supply is Maharashtra because The Supplier is in Haryana & Purchaser is from Maharashtra hence IGST is applicable in this transaction.

[KASTURI SETHI]

Dear Querist,

In support of my view, decision of AAR Rajasthan is appended below:-

2019 (20) G.S.T.L. 677 (A.A.R. - GST) = 2018 (12) TMI 1089 - AUTHORITY FOR ADVANCE RULING, RAJASTHANIN RE : UMAX PACKAGING

AI Summary

Place of supply determines IGST applicability; conflicting views on registration and whether IGST or CGST applies. Place-of-supply under an ex-works delivery is disputed: whether the transaction is intra-state (CGST/SGST) because movement terminates in the supplier's state, or inter-state (IGST) because supplier and purchaser are in different states. Opinion splits on whether the purchaser must obtain casual taxpayer registration and charge IGST to its customer; an Authority for Advance Ruling is cited supporting the IGST view.