Works Contract_Contractor not having registered office in the other state in which construction contract received can raised bill to for work done in that state

[JIGAR SHAH]

CASE:

Company A is engaged in carrying on construction activity in Ahmedabad and received construction contract in Goa from Company C .

As per Sub contract between company A and B, Sub contractor Company B will purchase goods in Goa and utilise the same for construction.

At the end of project Company B will raise bill for works contract to Company A, for goods purchase over there and utilized for construction over there.

(Note: Company A located in Ahmedabad, company B & company C located in Goa)

Issues:

Can the company A take Input credit of IGST from bill raised by company B (Sub-contractor)? Are there any issues if company B raised bill for material and service purchase and used in Goa to Company A in Ahmedabad?

And Also Issue is that Company A not having registered office in Goa, can it raise invoice to Company C for work done in Goa?

AI Summary

Place of supply for construction services determines tax composition and state registration affects input tax credit availability.
The place of supply for construction services is the location of the immovable property, so services performed in Goa are treated as supplied in Goa and attract the corresponding intra state tax composition; registration in a state is required only where a supplier has a fixed establishment, temporary sites do not automatically create a fixed establishment, and a casual taxable person registration is an optional procedural alternative. Input tax credit depends on satisfying statutory credit conditions and may necessitate registration in the work state to ensure recoverability where significant credit arises.