fbpx
+91-8512-022-044 help@finodha.in

ITR Filing Starts Only

Claim your TDS Refund before it EXPIRE in

Day(s)

:

Hour(s)

:

Minute(s)

:

Second(s)

GST Return Filing Starts Only

Rule 5 of Integrated Goods and Services Tax Rules.

by | Aug 22, 2024 | GST, Integrated Goods and Services Tax Rules, 2017, Rules | 0 comments

Rule 5

Consult an Expert: ITR Filing, GST Reg. & Pvt. Ltd. Registration!

1 + 14 =

Call @ +91-8512-022-044

Important Keywords: IGST Rules, Rule 5, Section 12.

Words: 925; Read time: 5 minutes.

Rule 5 of IGST Rules, 2017.

The supply of services attributable to different States or Union territories, under subsection (7) of section 12 of the said Act, in the case of-

(a) services provided by way of organisation of a cultural, artistic, sporting, scientific, educational or entertainment event, including supply of services in relation to a conference, fair exhibition, celebration or similar events; or

(b) services ancillary to the organisation of any such events or assigning of sponsorship to such events,

where the services are supplied to a person other than a registered person, the event is held in India in more than one State or Union territory and a consolidated amount is charged for supply of such services, shall be taken as being in each of the respective States or Union territories, and in the absence of any contract or agreement between the supplier of service and recipient of services for separately collecting or determining the value of the services in each such State or Union territory, as the case maybe, shall be determined by application of the generally accepted accounting principles.

Illustration : An event management company E has to organise some promotional events in States S1 and S2 for a recipient R. 3 events are to be organised in S1 and 2 in S2. They charge a consolidated amount of Rs. 10,00,000 from R. The place of supply of this service is in both the States S1 and S2. Say the proportion arrived at by the application of generally accepted accounting principles is 3:2. The service shall be deemed to have been provided in the ratio 3:2 in S1 and S2 respectively. The value of services provided will thus be apportioned as Rs. 6,00,000/- in S1 and Rs. 4,00,000/- in S2.]

1. Inserted (w.e.f. 01.01.2019) by Notification No. 04/2018 Integrated Tax dated 31.12.2018.

Frequently Asked Questions

  1. What is Rule 5 of IGST Rules 2017?

    Rule 5 of IGST Rules 2017 pertains to the determination of the place of supply of goods and services, ensuring clarity in the treatment of inter-state transactions.

  2. How does Rule 5 of IGST Rules 2017 affect inter-state transactions?

    Rule 5 of IGST Rules 2017 establishes guidelines for identifying the place of supply, which is crucial for determining tax liability on inter-state sales, thereby facilitating smoother tax compliance.

  3. What are the implications of Rule 5 of IGST Rules 2017 for businesses?

    Businesses must adhere to Rule 5 of IGST Rules 2017 to ensure accurate tax reporting on inter-state sales, avoiding penalties and ensuring efficient supply chain management.

  4. Can you explain the concept of place of supply under Rule 5 of IGST Rules 2017?

    The place of supply under Rule 5 of IGST Rules 2017 is the location where the goods or services are deemed to be supplied, which is critical for tax jurisdiction determination.

  5. What types of supplies are covered under Rule 5 of IGST Rules 2017?

    Rule 5 of IGST Rules 2017 covers both goods and services, detailing specific scenarios for inter-state and intra-state supplies to ensure comprehensive tax coverage.

  6. How does Rule 5 of IGST Rules 2017 interact with other GST rules?

    Rule 5 of IGST Rules 2017 complements other GST rules by providing clarity on the place of supply, which is essential for calculating IGST, CGST, and SGST appropriately.

  7. What documentation is required to comply with Rule 5 of IGST Rules 2017?

    To comply with Rule 5 of IGST Rules 2017, businesses must maintain accurate records of sales transactions, including invoices that clearly state the place of supply.

  8. Are there any exceptions to Rule 5 of IGST Rules 2017?

    Yes, Rule 5 of IGST Rules 2017 includes specific exceptions and clarifications for unique circumstances, such as goods supplied on board a conveyance or through remote sales.

  9. How can businesses ensure compliance with Rule 5 of IGST Rules 2017?

    Businesses can ensure compliance with Rule 5 of IGST Rules 2017 by regularly updating their tax knowledge, conducting training, and implementing robust accounting practices.

  10. What resources are available for understanding Rule 5 of IGST Rules 2017 better?

    Various resources, including government publications, GST training programs, and online forums, offer insights into Rule 5 of IGST Rules 2017 to help businesses navigate compliance effectively.

Read More: Notification No. 67/2018 – Central Tax: Seeks to extend the time period specified in notification No. 31/2018-CT dated 06.08.2018 for availing the special procedure for completing migration of taxpayers who received provisional IDs but could not complete the migration process.

Web Stories: Notification No. 67/2018 – Central Tax: Seeks to extend the time period specified in notification No. 31/2018-CT dated 06.08.2018 for availing the special procedure for completing migration of taxpayers who received provisional IDs but could not complete the migration process.

Download Pdf: https://taxinformation.cbic.gov.in/

Pin It on Pinterest

Shares
Share This