TaxTMI 
TaxTMI 
Determination of type of supply(CGST,SGST/IGST) in relation to Immovable Properties
X X X X Extracts X X X X
X X X X Extracts X X X X
....etermination of type of supply(CGST,SGST/IGST) in relation to Immovable Properties<br> Query (Issue) Started By: - Ramanathan Seshan Dated:- 11-7-2025 Last Reply Date:- 17-7-2025 Goods and Services Tax - GST<br>Got 7 Replies<br>GST<br>Dear Experts, Require your guidance with respect to determination of type of supply for the following transactions: 1. Supplier is unregistered in kerala 2. Pro....
X X X X Extracts X X X X
X X X X Extracts X X X X
....perty located in Tamil nadu 3. Recipient located in Tamil nadu (Registered) Regards, S Ram Reply By YAGAY andSUN: The Reply: In the given case, the supplier is unregistered and located in Kerala, the immovable property is situated in Tamil Nadu, and the recipient is a registered person in Tamil Nadu. The determination of the type of supply must be made by applying Section 12(3) of the Integr....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ated Goods and Services Tax (IGST) Act, 2017. Section 12(3) of the IGST Act clearly states that in case of services directly in relation to immovable property, including renting or leasing, the place of supply shall be the location of the immovable property, irrespective of the locations of the supplier or recipient. Accordingly, in this case, since the property is located in Tamil Nadu, the plac....
X X X X Extracts X X X X
X X X X Extracts X X X X
....e of supply is Tamil Nadu. Further, the recipient is also registered in Tamil Nadu. Hence, the location of the supplier (Kerala) is not relevant in determining the nature of supply when the supplier is unregistered and tax is payable under reverse charge. Since both the place of supply and the recipients location are in the same State (Tamil Nadu), the supply qualifies as an intra-State supply, a....
X X X X Extracts X X X X
X X X X Extracts X X X X
....nd the applicable tax is CGST and SGST. If the nature of service (such as renting of immovable property) falls under reverse charge as per Notification No. 13/2017 - Central Tax (Rate) dated 28.06.2017, the registered recipient in Tamil Nadu will be liable to pay CGST and SGST under reverse charge. There is no requirement for the unregistered supplier to obtain GST registration in this case. Rep....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ly By Sadanand Bulbule: The Reply: I welcome the reply cum legal position. Reply By Harshaditya Kabra: The Reply: For your specific scenario involving an unregistered supplier in Kerala providing services related to immovable property located in Tamil Nadu to a registered recipient in Tamil Nadu: Supply Type: INTRA-STATE SUPPLY GST Applicable: CGST + SGST (both in Tamil Nadu) Ta....
X X X X Extracts X X X X
X X X X Extracts X X X X
....x Rate: As per applicable HSN/SAC code for the specific service RCM Consideration: Check if the service falls under notified RCM categories Compliance: Registered recipient may need to pay tax under RCM if applicable The key takeaway is that Section 12(3) of IGST Act makes the location of immovable property the decisive factor, overriding the suppliers location for determi....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ning the type of GST supply. Reply By Shilpi Jain: The Reply: What is the supply in question? Reply By Ramanathan Seshan: The Reply: Dear Shilpi-mam, Supply is renting of land and building by an unregistered person to the company. Regards, S Ram Reply By Ramanathan Seshan: The Reply: Dear sir, Thanks for your detailed response. Reply By Ramanathan Seshan: The Reply: Dear Yagay and sun-....
X X X X Extracts X X X X
X X X X Extracts X X X X
....sir, Thanks for your detailed response.<br> Discussion Forum - Knowledge Sharing ....