OVERVIEW OF GST MEENAL BHOSALE IRS ADDITIONAL COMMISSIONER

OVERVIEW OF GST MEENAL BHOSALE, IRS ADDITIONAL COMMISSIONER OSD, TAX RESEARCH CELL DEPARTMENT OF FINANCE GOVERNMENT OF RAJASTHAN

BENEFITS OF GST • Reduction in Cascading of Taxes • Overall Reduction in Prices Decrease in Inflation • Common National Market • Benefits to Small Taxpayers Ease of Doing Business • Self-Regulating Tax System • Non-Intrusive Electronic Tax System Decrease in “Black” Transactions 2

BENEFITS OF GST • Simplified Tax Regime • Reduction in Multiplicity of Taxes Reduction in Compliance Costs • Consumption Based Tax • Abolition of CST Poorer States to Gain • Exports to be Zero Rated • Protection of Domestic Industry – IGST on Imports Make in India 3

SALIENT FEATURES

Taxes to be subsumed under GST: CENTRAL Central Excise duty TAXES Duties of Excise (Medicinal and Toilet Preparations) Additional Duties of Excise Additional Duties of Customs (commonly known as CVD) Special Additional Duty of Customs (SAD) Service Tax Central Surcharges and Cesses so far as they relate to supply of goods and services STATE State VAT TAXES Central Sales Tax Luxury Tax Entry Tax (all forms) Entertainment and Amusement Tax (except when levied by the local bodies) Taxes on advertisements Purchase Tax Taxes on lotteries, betting and gambling State Surcharges and Cesses so far as they relate to supply of goods and services

• Dual GST with the Centre and States simultaneously levying it on a common tax base. • The GST to be levied by the Centre would be called Central GST (CGST) and that to be levied by States would be called State GST (SGST). • The rates would be notified on the recommendations of the GST Council i. e. jointly by the Centre and States. • An Integrated GST (IGST) would be levied and collected by the Centre on inter-State supply of goods and services. States have been cross empowered in the collection and administration of IGST.

• Tobacco and tobacco products would be subject to GST. In addition, the Centre could levy excise duty on these products. • Applicable to all goods other than alcoholic liquor for human consumption and five petroleum products, viz. , Petroleum Crude, Motor Spirit (Petrol), Natural Gas, High Speed Diesel, Aviation Turbine Fuel. • Applicable to all services barring a few to be specified. • The exemption list would be common for the Centre and the States.

• Destination based consumption tax which would accrue to the State which has jurisdiction over the place of consumption which is also termed as place of supply. • GST will be levied at all stages right from manufacture up to final consumption with credit of taxes paid at previous stages available as setoff. Thus, only value addition will be taxed and burden of tax is to be borne by the final consumer. • HSN code shall be used for classifying the goods under the GST regime. Taxpayers whose turnover is above Rs. 1. 5 crores but below Rs. 5 crores shall use 2 -digit code and the taxpayers whose turnover is Rs. 5 crores and above shall use 4 -digit code on the invoices.

• For Services, Service Accounting Codes (SAC) shall be used. • Exports shall be treated as zero-rated supply. No tax is payable on exports but ITC related to the supply shall be refunded to exporters • Import of goods/services would be subject to IGST (Reverse Charge Mechanism) in addition to customs duties. • Laws and procedures for levy and collection of CGST/SGST would be harmonized to the extent possible.

• • • RATES OF GOODS IN GST 0% on essential items 5% on items of mass consumption 12%/ 18% standard rates covering most manufactured items and Services 28% on demerit goods Cess on sin goods such as Pan masala, tobacco and aerated drinks, luxury cars etc. A Fitment Committee has been constituted which will advice the GST Council on the fitment of goods in the various tax slabs. The basic philosophy behind having different rate slabs is that a single rate for all goods is not possible at this stage as luxury goods and goods consumed by poorer sections of society cannot be taxed at the same rates. To the extent possible, the current combined rate of tax levied on individual goods by the Central and the State Governments would be maintained in GST. Rates will be notified by Government on recommendations of GST Council.

RATES OF SERVICES IN GST • Exemption to essential services such as health, education, statutory services provided by government etc. • 5% on services presently taxed at abated rates • 12%/ 18% standard rates • 28% on services falling under luxury category such as star rated hotels

MODEL GST LAW

TAXABLE PERSON • “taxable person” means a person who is registered or liable to be registered under Section 22 or Section 24 [provided in definitions Section 2 (107)]

COMPOSITION SCHEME Section 10

• Small taxpayers with an aggregate turnover up to Rs. 50 lakhs in a FY shall be eligible for Composition levy. • The tax rates for suppliers under the Composition Scheme shall be as follows: § 1% of turnover in State/UT for Trader (CGST 0. 5% + SGST 0. 5%) § 2% of turnover in State/UT for Manufacturer (CGST 1% + SGST 1%) § 5 % of turnover in State/UT for Restaurant Service (CGST 2. 5% + SGST 2. 5%) • Benefit of Input Tax Credit shall not be available. • A tax payer opting for composition levy shall not collect any tax from his customers.

Following taxable persons not eligible for Composition Scheme: • who is engaged in the supply of services (except restaurant service); or • who makes any supply of goods which are not leviable to tax under this Act; or • who makes any inter-State outward supplies of goods; or • who makes any supply of goods through an electronic commerce operator who is required to collect tax at source under Section 56; or • who is a manufacturer of such goods as may be notified on the recommendation of the Council

MEANING AND SCOPE OF SUPPLY Section 7

Supply includes • All forms of supply such as sale, transfer, barter, exchange, license, rental, lease, or disposal made or agreed to be made for a consideration in the course or furtherance of business • Importation of service, for a consideration whether or not in the course or furtherance of business (and without consideration in the course or furtherance of business) • the activities specified in Schedule I, made or agreed to be made without a consideration; • the activities to be treated as supply of goods or supply of services as referred to in Schedule II. .

Following shall be treated neither as a supply of goods nor a supply of services • activities or transactions specified in Schedule III; or • such activities or transactions undertaken by the Central Government, a State Government or any local authority in which they are engaged as public authorities, as may be notified by the Government on the recommendations of the Council, (this is in lieu of earlier Schedule IV)

COMPOSITE SUPPLIES Section 8 The tax liability on a composite or a mixed supply shall be determined in the following manner, namely: — • a composite supply comprising two or more supplies, one of which is a principal supply, shall be treated as a supply of such principal supply; and • a mixed supply comprising two or more supplies shall be treated as a supply of that particular supply which attracts the highest rate of tax

TIME OF SUPPLY

Time of Supply of Goods The time of supply of goods shall be the earlier of the following dates, namely: — • the date of issue of invoice by the supplier or the last date on which he is required, under sub-Section (1) of Section 31, to issue the invoice with respect to the supply; or • the date on which the supplier receives the payment with respect to the supply

Time of Supply of Services The time of supply of services shall be the earlier of the following dates, namely: — • the date of issue of invoice by the supplier, if the invoice is issued within the period prescribed under sub-Section (2) of Section 31 or the date of receipt of payment, whichever is earlier; or • the date of provision of service, if the invoice is not issued within the period prescribed under sub-Section (2) of Section 31 or the date of receipt of payment, whichever is earlier; or • the date on which the recipient shows the receipt of services in his books of account, in a case where the provisions of clause (a) or clause (b) do not apply

Provision for Invoice- Section 31 • A registered person supplying taxable services shall, before or after the provision of service but within a prescribed period of 30 days, issue a tax invoice, showing the description, value, tax charged thereon and such other particulars as may be prescribed. • No specified format but 16 mandatory fields. • Facility to issue Debit/ Credit note where value of supply increases or decreases as the case may be.

A person registered under GST can issue invoice containing following particulars: 1. Name, address and GSTIN of the supplier; 2. A consecutive serial number, in once or multiple series containing alphabets or numerals or special characters hyphen or dash and slash as “-” and “/” respectively and any combination thereof, unique for a financial year. 3. Date of the invoice issued. ; 4. Name. address and GSTIN or UIN, if registered, of the recipient; 5. Name and address of the recipient and the address of delivery, along with the name of State and its code, if such recipient is un- registered and where the value of taxable supply is fifty thousand rupees or more; 6. HSN code of goods or Accounting Code of services; 7. Description of goods or services; 8. Quantity in case of goods and unit or Unique Quantity Code thereof; 9. Total value of supply of goods or services or both. 10. Taxable value of supply of goods or services or both taking into account discount or abatement, if any; 11. Rate of tax (central tax, State tax, Integrated tax, Union territory tax or cess) 12. Amount of tax charged in respect of taxable goods or services (Central tax, State tax, Integrated tax, Union territory tax or cess) 13. Place of supply along with the name of State, in case of a supply in the course of inter State trade or commerce. 14. Address of delivery where the same is different from the place of supply; 15. Whether the tax is payable on reverse charge basis and 16. Signature or digital signature of the supplier or his authorised representative.

SCHEDULES

Schedule I - Matters to be treated as supply without consideration

• Permanent transfer or disposal of business assets where input tax credit has been availed on such assets. • Supply of goods or services or both between related persons or between distinct persons as specified in section 25, when made in the course or furtherance of business: Provided that gifts not exceeding fifty thousand rupees in value in a financial year by an employer to an employee shall not be treated as supply of goods or services or both. • Supply of goods— (a) by a principal to his agent where the agent undertakes to supply such goods on behalf of the principal; or (b) by an agent to his principal where the agent undertakes to receive such goods on behalf of the principal. • Import of services by a taxable person from a related person or from any of his other establishments outside India, in the course or furtherance of business.

Schedule II - Matters to be treated as supply of goods or services

1. Transfer (a) any transfer of the title in goods is a supply of goods; (b) any transfer of right in goods or of undivided share in goods without the transfer of title thereof, is a supply of services; (c) any transfer of title in goods under an agreement which stipulates that property in goods shall pass at a future date upon payment of full consideration as agreed, is a supply of goods. 2. Land Building (a) any lease, tenancy, easement, licence to occupy land is a supply of services; (b) any lease or letting out of the building including a commercial, industrial or residential complex for business or commerce, either wholly or partly, is a supply of services. 3. Treatment or process Any treatment or process which is applied to another person's goods is a supply of services.

4. Transfer of business assets (a) where goods forming part of the assets of a business are transferred or disposed of by or under the directions of the person carrying on the business so as no longer to form part of those assets, whether or not for a consideration, such transfer or disposal is a supply of goods by the person; (b) where, by or under the direction of a person carrying on a business, goods held or used for the purposes of the business are put to any private use or are used, or made available to any person for use, for any purpose other than a purpose of the business, whether or not for a consideration, the usage or making available of such goods is a supply of services; (c) where any person ceases to be a taxable person, any goods forming part of the assets of any business carried on by him shall be deemed to be supplied by him in the course or furtherance of his business immediately before he ceases to be a taxable person, unless— (i) the business is transferred as a going concern to another person; or (ii) the business is carried on by a personal representative who is deemed to be a taxable person.

5. Supply of services The following shall be treated as supply of services, namely: — (a) renting of immovable property; (b) construction of a complex, building, civil structure or a part thereof, including a complex or building intended for sale to a buyer, wholly or partly, except where the entire consideration has been received after issuance of completion certificate, where required, by the competent authority or after its first occupation, whichever is earlier. (c) temporary transfer or permitting the use or enjoyment of any intellectual property right; (d) development, design, programming, customisation, adaptation, upgradation, enhancement, implementation of information technology software; (e) agreeing to the obligation to refrain from an act, or to tolerate an act or a situation, or to do an act; and (f) transfer of the right to use any goods for any purpose (whether or not for a specified period) for cash, deferred payment or other valuable consideration.

6. Composite supply The following composite supplies shall be treated as a supply of services, namely: — (a) works contract as defined in clause (119) of Section 2; and (b) supply, by way of or as part of any service or in any other manner whatsoever, of goods, being food or any other article for human consumption or any drink (other than alcoholic liquor for human consumption), where such supply or service is for cash, deferred payment or other valuable consideration. 7. Supply of Goods The following shall be treated as supply of goods, namely: — Supply of goods by any unincorporated association or body of persons to a member thereof for cash, deferred payment or other valuable consideration.

Schedule III - Activities or transactions which shall be treated neither as supply of goods nor as supply of services

1. Services by an employee to the employer in the course of or in relation to his employment. 2. Services by any court or Tribunal established under any law for the time being in force. 3. (a) the functions performed by the Members of Parliament, Members of State Legislature, Members of Panchayats, Members of Municipalities and Members of other local authorities; (b) the duties performed by any person who holds any post in pursuance of the provisions of the Constitution in that capacity; or (c) the duties performed by any person as a Chairperson or a Member or a Director in a body established by the Central Government or a State Government or local authority and who is not deemed as an employee before the commencement of this clause. 4. Services of funeral, burial, crematorium or mortuary including transportation of the deceased. 5. Sale of land and, subject to clause (b) of paragraph 5 of Schedule II, sale of building. 6. Actionable claims, other than lottery, betting and gambling.

VALUATION

Valuation to be done on the basis of transaction value. Transaction value is the price actually paid or payable for the goods and/or services where the supplier and the recipient are not related and the price is the sole consideration for the supply. Transaction value shall, inter-alia, include: ‾ any taxes, duties, fees, cesses and charges levied under any statute other than CGST/SGST/UTGST/IGST /GST Compensation Acts. ‾ any amount that supplier is liable to pay in relation to supply but which has been incurred by the recipient of the supply and not included in the price actually paid or payable. ‾ incidental expenses such as commission, packing etc. charged by the supplier to the recipient of supply. ‾ interest or late fee or penalty for delayed payment of any consideration for any supply; ‾ Subsidies directly linked to the price, except subsidies provided by the State or Central Government.

INPUT TAX CREDIT

• • Full ITC shall be allowed on capital goods on its receipt. Unutilized credit can be carried forward or can be claimed as refund in certain situations (Exports and Inverted Duty Structure). • ITC cannot be availed on invoices which are more than one year old. • Conditions for availing of ITC by taxable person: Ø Possession of a tax invoice/ debit note Ø Receipt of the goods and/or services Ø Tax charged in respect of such supply has been actually paid to the appropriate Government Ø Return has been furnished • ITC shall be allowed on all goods and services except those in the negative list

• Motor vehicles and other conveyances except when they are used–– (i) for making the following taxable supplies, namely: — (A) further supply of such vehicles or conveyances ; or (B) transportation of passengers; or (C) imparting training on driving, flying, navigating such vehicles or conveyances; (ii) for transportation of goods; • The following supply of goods or services or both— (i) food and beverages, outdoor catering, beauty treatment, health services, cosmetic and plastic surgery except where an inward supply of goods or services or both of a particular category is used by a registered person for making an outward taxable supply of the same category of goods or services or both or as an element of a taxable composite or mixed supply; (ii) membership of a club, health and fitness centre; (iii) rent-a-cab, life insurance and health insurance except where–– (A) the Government notifies the services which are obligatory for an employer to provide to its employees under any law for the time being in force; or (B) such inward supply of goods or services or both of a particular category is used by a registered person for making an outward taxable supply of the same category of goods or services or both or as part of a taxable composite or mixed supply; and

(iv) travel benefits extended to employees on vacation such as leave or home travel concession; • works contract services when supplied for construction of an immovable property (other than plant and machinery) except where it is an input service for further supply of works contract service; • goods or services or both received by a taxable person for construction of an immovable property (other than plant or machinery) on his own account including when such goods or services or both are used in the course or furtherance of business. • goods or services or both received by a non-resident taxable person except on goods imported by him; • goods or services or both used for personal consumption; • goods lost, stolen, destroyed, written off or disposed of by way of gift or free samples; and • any tax paid in accordance with the provisions of Sections 74, 129 and 130 (tax, redemption fine and penalty on goods liable for confiscation)

• Manner of utilization of credit • ITC on account of CGST shall first be utilized towards payment of CGST; the amount remaining, if any, shall be utilized towards payment of IGST • ITC on account of SGST shall first be utilized towards payment of SGST; the amount remaining, if any, shall be utilized towards payment of IGST. • ITC on account of IGST shall first be utilized towards payment of IGST; the amount remaining, if any, shall be utilized towards payment of CGST and SGST, in that order. • No ITC on account of CGST shall be utilized towards payment of SGST and vice versa.

PAYMENT OF TAX

• Taxable person shall himself assess the taxes payable (self-assessment) and credit it to the account of the Government. • Payment of tax shall be made electronically through internet banking. New modes of payment of tax are being introduced, viz. credit and debit cards, NEFT and RTGS. • Small taxpayers shall be allowed to use challans generated by the system and pay tax (upto Rs. 10000/-) at the bank counter. • The payments made shall be credited to the electronic cash ledger of such person to be maintained on GSTN portal. • Tax payments for all months shall be made in the succeeding month.

RETURNS

• Taxpayers shall furnish the details of sales and purchases electronically without any physical interface with the tax authorities and file monthly returns. • Composition taxpayers shall file quarterly returns • ITC shall be provisionally allowed on filing of return • Short-filing of return is allowed, but returns filed without payment of full tax shall not be treated as a valid return for allowing ITC in respect of supplies made by taxable person • Annual return to be filed on or before 31 December following the end of the st financial year • Taxpayers are allowed to file the details of sales and purchases and the various returns through scheme of GST Practitioners.

INVOICE MATCHING

• • After filing of return by the taxable person, his inward supplies and/or debit notes shall be matched with the corresponding outward supplies and/or debit notes declared by the supplier in his tax return. In case of matching, the ITC claimed by the taxable person shall be finally accepted and he shall be informed. • • • In case of mis-match, the discrepancy shall be notified to the taxable person and the supplier. Where the supplier does not rectify the discrepancy in his return, the amount to the extent of discrepancy shall be added to the output tax liability of the taxable person. Likewise, the reduction in tax liability due to issue of a credit note by the supplier shall be matched with the reduction in ITC claimed by the recipient in his return.

• In case of matching, such reduction in the tax liability shall be finally accepted and communicated to the supplier. • In case of mis-match, the discrepancy shall be notified to the supplier and the recipient. • Where the recipient does not rectify the discrepancy and reduce his ITC claim in his return, the amount to the extent of discrepancy shall be added to the output tax liability of the supplier. • Matching, reversal and reclaim of ITC shall be done electronically on the GSTN portal without any tax payer contact.

REFUND

• Refund can be claimed within 2 years from the relevant date. • Refund of ITC allowed in case of exports (except where the export goods are subject to duty) or where the credit accumulation is on account of inverted duty structure. • Refund shall be granted within 60 days from the date of receipt of application. • Applicant shall produce documentary evidence that he has not passed on the incidence of tax on to any other person. • No need to furnish such evidence if the refund claim is less than Rs. 5 lakhs. Self-declaration would suffice. • Interest payable after 2 months from the date of receipt of application till the date of refund.

AUDIT

• Audit can be conducted at the place of business of the taxable person or at the office of the tax authorities. • Taxable person shall be informed sufficiently in advance, prior to the conduct of audit. • Audit shall be carried out in a transparent manner. • Audit to be completed within 3 months, extendable by a further period of 6 months. • On conclusion of audit, the proper officer shall without delay notify the taxable person of the findings, the taxable person’s rights and obligations and reasons for the findings.

DEMAND OF TAX

• Adjudication order shall be issued within 3 years of filing of annual return in normal cases • The time limit is 5 years (from filing of annual return) in fraud/suppression cases. • No separate time lines for issue of SCN and adjudication order. However, notice to be issued at least three months prior to issuance of order. • Provisions for settlement of cases at every stage, right from audit/ investigation to the stage of passing of adjudication order and even thereafter.

• No/ Minimal penalty if the tax and interest is paid at the stage of audit/ investigation. • The officer shall in his order set out the relevant facts and the basis of his decision. • The amount of tax, interest and penalty demanded in the order shall not be in excess of the amount specified in the notice. • No demand shall be confirmed on grounds other than the grounds specified in the notice.

Penalty at different stages Demand in the normal course where there is no fraud, suppression etc. • Zero before Notice/ Statement • Zero within 30 days of Notice/ Statement • 10% or Rs 10000/- (whichever is higher) within 30 days of order Demand where there is fraud, suppression etc. • 15% before Notice/ Statement • 25% within 30 days of Notice/ Statement • 50% within 30 days of order

SEARCH SEIZURE ARREST

• Power to search places and seize goods, documents etc. has • • been retained under GST law. After seizure of goods, if notice not is given within 60 days, the goods shall be returned to the person. The period is extendable up to 6 months. A person can be arrested only where the amount of tax evaded exceeds Rs. 200 lakhs or where it is a repeat offence. If the amount of tax evaded is below Rs. 5 crore, the offence is non-cognizable and bailable. If the amount of tax evaded exceeds Rs. 5 crore, the offence is cognizable and non-bailable.

PROSECUTION

OFFENCES • Amount • • of tax evaded exceeds Rs. 5 crores, and repeat offences. Amount of tax evaded exceeds Rs. 2 crores does not exceed Rs. 5 crores. Amount of tax evaded exceeds Rs. 1 crores but does not exceed Rs. 2 crores. PUNISHMENT 5 years imprisonment plus fine 3 years imprisonment plus fine 1 year imprisonment plus fine

APPEALS

• First appeal against any order passed by an adjudicating authority shall lie before the First Appellate Authority. • Subsequent appeals lie before the Tribunal, High Court and Supreme Court. • Pre-deposit of 10% of the amount in dispute for filing an appeal before the First Appellate Authority and Pre-deposit of 20% in case of Tribunal. • First Appellate Authority/Tribunal shall hear and decide the appeal within a period of 1 year, where it is possible to do so.

• Appeal cannot be filed in the High Court against an order of the Appellate Tribunal. Ø where two or more States or a State and the Centre have a difference of views regarding place of supply or Ø

TRANSITIONAL PROVISIONS

• The existing taxpayers shall be issued a certificate of registration valid for 3 months. Upon furnishing of prescribed information, registration shall be granted on a final basis • The amount of Cenvat credit / VAT carried forward in a return shall be allowed as input tax credit under GST • Un-availed Cenvat credit on capital goods, not carried forward in a return, shall also be allowed as ITC under GST • Credit of eligible duties and taxes in respect of inputs held in stock shall be allowed to a registered taxable person • Credit of eligible duties and taxes in respect of inputs held in stock shall be allowed to a taxable person switching over from the composition scheme to the normal scheme • No tax is payable on the goods removed/despatched earlier but returned to the place of business within 6 months after the introduction of GST

• No tax shall be payable on the inputs, semi-finished goods and finished goods removed/despatched earlier for job work and which are returned to the place of business within 6 months after the introduction of GST • Pending refund claims shall be disposed of in accordance with the provisions of earlier law and the amount of refund shall be paid to the claimant in cash • Pending claim of Cenvat credit /ITC shall be disposed of in accordance with the provisions of earlier law and the amount of credit shall be paid to the claimant in cash • No tax shall be payable on the supply of goods and /or services made before the introduction of GST where a part of consideration for the said supply is received on or after the introduction of GST, but the full duty or tax payable on such supply has already been paid under the earlier law

PROVISIONS IN RESPECT OF RIICO

Exempted Services • Taxable service provided by State Government Industrial Development Corporations/ Undertakings to industrial units by way of granting long term (thirty years, or more) lease of industrial plots from so much of tax leviable thereon, as is leviable on the one time upfront amount (called as premium, salami, cost, price, development charges or by any other name) payable for such lease. • Services by way of renting of residential dwelling for use as residence. • Services by way of— (i) extending deposits, loans or advances in so far as the consideration is represented by way of interest or discount (other than interest involved in credit card services)

IGST LAW

• The IGST Act provides for levy and collection of tax on inter. State supply of goods or services or both. • IGST will also be levied on import of goods from a place of supply outside India to a recipient in India. • Inter-state supply of goods and/ or services means a supply, where the location of the supplier and the place of supply are in– a) two different States; (b) two different Union territories; or (c) a State and a Union territory,

• Intra-state supply of goods and/ or services means a supply where the location of the supplier and the place of supply of goods are in the same State or same Union territory shall be treated as intra-State supply. Provided that the following supply of goods shall not be treated as intra-State supply, namely: – (i) supply of goods to or by a Special Economic Zone developer or a Special Economic Zone unit; (ii) goods imported into the territory of India till they cross the customs frontiers of India; or (iii) supplies made to a tourist referred to in section 15.

PLACE OF SUPPLY OF GOODS (other than import/export) The place of supply of goods, shall be as under, – (a) where the supply involves movement of goods, by supplier or recipient or by any other person, the location of the goods at the time at which the movement of goods terminates for delivery to the recipient; (b) where the goods are delivered by the supplier to a recipient or any other person on the direction of a third person, whether acting as an agent or otherwise, before or during movement of goods, either by way of transfer of documents of title to the goods or otherwise, it shall be deemed that the said third person has received the goods and the place of supply of such goods shall be the principal place of business of such person; (c) where the supply does not involve movement of goods, by supplier or recipient, the location of such goods at the time of the delivery to the recipient;

(d) where the goods are assembled/ installed at site, the place of such installation/ assembly; (e) where the goods are supplied on board a conveyance, (such as vessel/aircraft/train/ motor vehicle, the location at which such goods are taken on board PLACE OF SUPPLY OF GOODS IMPORTED OR EXPORTED The place of supply of goods– (a) imported into India shall be the location of the importer; (b) exported from India shall be the location outside India.

PLACE OF SUPPLY OF SERVICES (except a few specified services) The place of supply of services– (a) made to a registered person shall be the location of such person; (b) made to any person other than a registered person shall be, – (i) the location of the recipient where the address on record exists; and (ii) the location of the supplier of services in other cases.

REFUND OF IGST TO INTERNATIONAL TOURIST The IGST paid by tourist leaving India on any supply of goods taken out of India by him shall be refunded in prescribed manner. Explanation–For the purposes of this Section, the term “tourist” means a person not normally resident in India, who enters India for a stay of not more than 6 months for legitimate non-immigrant purposes.

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