TaxTMI 
TaxTMI 
In case a supplier in India ships goods to a person in India on the direction of his customer located outside India, what are the GST implications in terms of nature of supply and person liable to pay ?
Bill to ship to where bill to party is outside India
11 Sep 2024 
8 Replies 
10913 Views Asked by
Place of supply rules determine GST liability; shipments directed by foreign buyers but delivered in India are domestic supplies.
Goods shipped within India on the direction of a buyer located abroad are not exports if the goods do not leave India and must be treated as domestic supplies-inter-state or intra-state-based on the place of supply rule that identifies the location where movement of goods terminates for delivery; the foreign instructing buyer is not required to register under GST by virtue of being abroad, and foreign currency realisation may raise EDPMS/FEMA reconciliation issues. (AI Summary)
Goods shipped within India on the direction of a buyer located abroad are not exports if the goods do not leave India and must be treated as domestic supplies-inter-state or intra-state-based on the place of supply rule that identifies the location where movement of goods terminates for delivery; the foreign instructing buyer is not required to register under GST by virtue of being abroad, and foreign currency realisation may raise EDPMS/FEMA reconciliation issues. (AI Summary)