TaxTMI 
TaxTMI 
In view of the Notification No. 11 and 13/2023 issued regarding GST on ocean freight, does it mean that even if contract is FOB and if the Shipping Line is from outside India, GST under reverse charge is not payable? And if payable, under which serial number of the reverse charge notification the same will be payable?
GST under reverse charge on ocean freight
28 Sep 2023 
3 Replies 
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Reverse charge GST on ocean freight remains contested; applicability hinges on whether the service recipient is located in India.
Whether GST under reverse charge applies to ocean freight is disputed: Serial No. 1 of the IGST reverse charge notification applies when the service recipient is in India and the provider is outside India; however, a Gujarat High Court held that notifications imposing IGST on importers for ocean freight from outside India are ultra vires because such supplies between non-taxable territories are neither inter-state nor intra-state, and the Supreme Court has admitted an appeal without stay, leaving the position unsettled. (AI Summary)
Whether GST under reverse charge applies to ocean freight is disputed: Serial No. 1 of the IGST reverse charge notification applies when the service recipient is in India and the provider is outside India; however, a Gujarat High Court held that notifications imposing IGST on importers for ocean freight from outside India are ultra vires because such supplies between non-taxable territories are neither inter-state nor intra-state, and the Supreme Court has admitted an appeal without stay, leaving the position unsettled. (AI Summary)