Example
-100
Shree Ram Enterprises, a
registered taxable person, executed contract in the state of the Delhi. Since the
said company wanted to shut down his construction activities and decided to
dispose of the construction equipments. Mohan who got a construction contract in
Delhi agreed to buy equipment from the said company. In the contract of
supply of construction equipment are located in delhi and the buyer/recipient
wanted the delivery of such equipment in Delhi.
Case 1 : Shree Ram Enterprises
registered as taxable person in Delhi
Case 2 : Shree Ram Enterprises
registered as taxable person other than in Delhi
Determine place of supply, location of supplier and whether the supply is inter-state or intra-state.
Solution
As
per section 10(1)(c) of IGST Act, place of supply of goods,
other than supply of goods imported into, or exported from India, shall be where
the supply does not involve movement of goods, whether by the supplier or the
recipient, the place of supply shall be the location of such goods at the time
of the delivery to the recipient.
As
per above provision
Case
1
|
Location
of Supplier |
Delhi |
|
Place
of Supply |
Delhi |
|
Inter-
State or Intra-State |
Intra-state |
Case
2
|
Location
of Supplier |
Outside
Delhi |
|
Place
of Supply |
Delhi |
|
Inter-
State or Intra-State |
Inter-state |