DETERMINATION OF NATURE OF SUPPLY IN GST

Relevance of Nature of Supply: To determine whether to charge CGST, SGST, or IGST based on the nature of supply.

Type of supply:

1) Intrastate Supply: CGST and SGST to be charged on same tax base.

2) Interstate supply: IGST to be charged.

1. Intrastate supply:  Supply to be treated as Intra state supply, if the

• Location of Supplier

• Place of supply

are in the same state or in the same Union Territory.

2. Interstate supply : Supply to be treated as Interstate supply, if the

• Location of Supplier

• Place of supply

are in   i) two different states (or)

ii) two different Union territory (or)

iii) in a state and in a Union territory

Above mentioned provisions are subjected to determination of place of supply.

We hope this article has helped you to understand which tax shall be levied under GST (i.e., CGST, SGST, or IGST), based on nature of supply.

For any more information on GST, or for any queries regarding CA in Bangalore. Please feel free to reach out to us.