GST Applicability

[Ethirajan Parthasarathy]

A GTA has head office in Tamil Nadu and branch in Karnataka. Both the places are registered under GST. For movement of goods from Karnataka to Tamil Nadu, Karnataka branch of GTA generates consignment note but the invoice is raised by Chennai office of GTA.

Is recipient of such goods liable to pay CGST and SGST because invoice is from Chennai office of GTA under RCM or IGST because consignment note is issued by Bangalore branch of GTA.

AI Summary

Supplier location determines GST liability; align invoice and consignment note to establish CGST/SGST or IGST applicability.
The decisive factor for CGST/SGST versus IGST is the supplier's location as determined by the invoice or the address shown on the invoice. To avoid uncertainty where a branch issues the consignment note but the head office raises the invoice, parties should align issuance-either have the Karnataka branch issue the invoice or have the Tamil Nadu branch issue the consignment note-and treat inter branch vehicle hire and applicable exemptions accordingly.