Storing at Cold Storage

[Kaustubh Karandikar]

XYZ is registered with GST and buying raw material which is directly delivered to PQR (Cold Storage) for storing these goods. From PQR’s Cold Storage, the goods are transferred to XYZ’s premises in piecemeal as per the requirement. 1) Is XYZ required to declare PQR’s premises as ‘Additional Place of Business’ even when PQR is already separately registered under GST? If registered as additional place, can XYZ claim ITC of the entire amount at the beginning even if goods are received in piecemeal? In my view, XYZ can declare PQR's premises as additional place of business and in that case can claim entire credit against the invoice received without waiting for the entire quantity of goods to be received at his premises from cold storage. Expert's views please.

[Shilpi Jain]

Agree with your views.

[Ganeshan Kalyani]

Sir, your view is correct.

AI Summary

Additional place of business: declaring third party storage allows recognition of input tax credit before full physical receipt. Experts agreed that a registrant may declare a third party cold storage as an additional place of business; once declared, the registrant may claim input tax credit on invoices for goods stored there without waiting for complete physical receipt of the entire consignment, subject to compliance with the statutory conditions for input tax credit.