Home Forum Goods and Services Tax - GST Month 7 2023 2023 (7) This
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Import of Service - Goods and Services Tax - GSTExtract XYZ exported the goods which needs some rework / repairs at the customer s premises outside India. The subsidiary Companies outside India had done the required rework / repairs on behalf of XYZ and recovered the amount in foreign currency from XYZ. Is XYZ required to pay GST under reverse charge? In my view, it will fall under Section 13(3)(a) of IGST Act i.e. in case of services supplied in respect of goods which are required to be made physically available by the recipient of services to the supplier of services, or to a person acting on behalf of the supplier of services in order to provide the services , the place of supply shall be the location where the services are actually performed and therefore no GST since the services are performed outside India. Views of the experts please. XYZ exported the goods which needs some rework / repairs at the customer s premises outside India. The customer had done the necessary rework / repairs and recovered the amount in foreign currency from XYZ. Is XYZ required to pay GST under reverse charge? In my view, it will fall under the default section i.e. Section 13(2) of IGST Act i.e. the place of supply of services except the services specified in sub-sections (3) to (13) shall be the location of the recipient of services and since the recipient i.e. XYZ is in India, XYZ is liable to pay GST under reverse charge. Views of the experts please.
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