TaxTMI 
TaxTMI 
XYZ (Maharashtra) had given a Commercial property in Mumbai on rent to PQR for their office. PQR is registered with GST in Daman as a manufacturer. XYZ is issuing invoice to PQR in the name of office address in Mumbai and treating them as URD since PQR is not registered with GST in Maharashtra being having only office in Mumbai. For the rent charged, XYZ is charging CGST + SGST. Is it correct or they need to charge IGST?
Place of supply
04 Mar 2020 
2 Replies 
2252 Views Asked by
Place of supply rules: rent of immovable property located in state attracts CGST and SGST, not IGST.
Under Section 12(3) of the IGST Act, services directly related to immovable property are supplied at the location of that property; therefore rent of a commercial office located in Maharashtra is an intra state supply and attracts CGST and SGST rather than IGST. (AI Summary)
Under Section 12(3) of the IGST Act, services directly related to immovable property are supplied at the location of that property; therefore rent of a commercial office located in Maharashtra is an intra state supply and attracts CGST and SGST rather than IGST. (AI Summary)