TaxTMI 
TaxTMI 
respected sir what is the time of supply for a govt works contractor for canal work running over one yer
thanking you
time of supply for works comtracts
08 Apr 2020 
3 Replies 
1526 Views Asked by
Time of supply for continuous services determines when invoice or payment triggers GST liability and when advances are taxable.
The time of supply for continuous works contracts follows three rules: if the due date of payment is ascertainable, the time of supply is the payment due date and the invoice must be issued on or before that date; if the due date is not ascertainable, the time of supply is the earlier of receipt of payment or issuance of an invoice; if payment is linked to completion of an event, the time of supply is the date of completion and the invoice must be issued on or before that date. Advances are taxable on receipt and cessation of supply requires invoicing for the portion supplied. (AI Summary)
The time of supply for continuous works contracts follows three rules: if the due date of payment is ascertainable, the time of supply is the payment due date and the invoice must be issued on or before that date; if the due date is not ascertainable, the time of supply is the earlier of receipt of payment or issuance of an invoice; if payment is linked to completion of an event, the time of supply is the date of completion and the invoice must be issued on or before that date. Advances are taxable on receipt and cessation of supply requires invoicing for the portion supplied. (AI Summary)