New Clarification on Place of Supply for Goods to Unregistered Persons

IGST Act Amendment: Effective from 01.10.2023, clause (ca) was added to Section 10(1) of the IGST Act, affecting the place of supply for goods to unregistered persons.

Clause (ca): Specifies that for unregistered persons, the place of supply is the delivery address on the invoice, or the supplier's location if no address is recorded. Explanation: Recording the State name on the invoice is considered as recording the address.

Scenario Clarification: Example: Mr. A from State X orders a mobile phone via an e-commerce platform to be delivered to State Y, with the billing address in State X. Place of Supply: The place of supply is State Y, the delivery address on the invoice.

Uniformity in Implementation: Suppliers should record the delivery address as the recipient's address on the invoice for determining the place of supply.