9911796707
TMI BlogPlace of supply: Outside IndiaX X X X Extracts X X X X X X X X Extracts X X X X ..... Place of supply: Outside India X X X X Extracts X X X X X X X X Extracts X X X X ..... dia C (Indian exporter) used A (Indian forwarder's) services to deliver this goods to D (buyer) who is based outside India. A being an Indian entity, used B (Forwarder outside India) services like Customs clearance outside India, on carriage (door delivery) etc outside India, and charged A for its services. Place of supply of such services is outside India, however B charged A for its serv ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ices, and A charged C in Indian rupees + GST. Now, the question is: is A liable to pay for GST under reverse charge under GST rules? Regards Sunish Reply By SOWMYA CA: The Reply: GST under RCM is not attracted as it is not an import of services. The definition of Import of Service U/s. 2(11) clearly provides that supplier is outside India, the recipient is in India and the place of supply o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f service is in India. However the place of supply is outside india therefore no GST under RCM is attracted. Reply By Sunish Ahuja: The Reply: Thank you Sowmya ji for your guidance. Understood your point but will need some inputs on Notification no. 10/2017 (1) which states: Category of Supply of Services: Any service supplied by any person who is located in a non-taxable territory to any pers ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on other than non-taxable online recipient Supplier of service: Any person located in a non-taxable territory Recipient of Service: Any person located in the taxable territory other than non-taxable online recipient So now under this notification, can an individual/company liable to GST on import purchases under reverse charge? Thank you once again for your help and your help is much appreciat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed :) Reply By SOWMYA CA: The Reply: Sunish, Agreed that IGST notification on RCM 10/2017 which provides that when service is provided by a person in the non-taxable territory to any person located in the taxable territory other than a non-taxable online recipient, the liability to pay tax is on the recipient. However this notification only talks about who is liable to pay tax.. however in the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... present case, there is no levy as there is no import of services into India!!
Reply By Nikhil Virkar:
The Reply:
Dear Swomya madam, Under which sub-section of Sec 13 of IGST you have classified the services of B to determine POS as outside India. My view is that it will fall under Sec13(2) of IGST Act and would liable to RCM. X X X X Extracts X X X X X X X X Extracts X X X X
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