Home List Manuals GSTGST Ready ReckonerGST - Valuation / Value of Supply This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
Determination of Value of supply of goods made or received through an agent [Rule 29 of CGST Act] - GST Ready Reckoner - GSTExtract As per Rule 29 of the GST Rules provides for Determination of Value of supply of goods made or received through an agent - Clause (a) (i) Open market value of goods being supplied, or, (ii) at the option of the supplier, 90% of the price charged for the supply of goods of like kind and quality by the recipient to his unrelated customer . Clause (b) Where the value of a supply is not determinable under clause (a), the same shall be determined by the application of rule 30 or rule 31 of CGST Rules in that order. Sole agent or sole distributor or sole concessionaire is not a agent As per explanation of Section 15 define the Related person (c) persons who are associated in the business of one another in that one is the sole agent or sole distributor or sole concessionaire , howsoever described, of the other, shall be deemed to be related. Example:- Where a principal supplies groundnut to his agent and the agent is supplying groundnuts of like kind and quality in subsequent supplies at a price of ₹ 5000/- per quintal on the day of supply. Another independent supplier is supplying groundnuts of like kind and quality to the said agent at the price of ₹ 4550/- per quintal. The value of the supply made by the principal shall be ₹ 4550/- per quintal or where he exercises the option the value shall be 90% of the ₹ 5000/- i.e. is ₹ 4500/- per quintal.
|