TaxTMI 
TaxTMI 
The company has received subsidy from foreign government, so whether it will be included in value of supply? As per section 15 subsidies from central and state government are excluded while calculating value of supply.
Subsidy received from Foreign Government
09 Apr 2021 
5 Replies 
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GST valuation: foreign government subsidy included in taxable value, and supply treated as located in India.
Subsidy paid by a foreign government to a supplier of training services in India does not fall within domestic statutory exclusions for government subsidies and is therefore includible in the transactional value for GST; the MOU between states does not change that treatment, and the supply is treated as located in India under domestic place-of-supply rules, not as an export. (AI Summary)
Subsidy paid by a foreign government to a supplier of training services in India does not fall within domestic statutory exclusions for government subsidies and is therefore includible in the transactional value for GST; the MOU between states does not change that treatment, and the supply is treated as located in India under domestic place-of-supply rules, not as an export. (AI Summary)