1. Standardised PPT on GST
Indirect Taxes Committee
The Institute of Chartered Accountants of India

2. Disclaimer and Copy right
This presentation has been prepared to provide a standard ‘user presentation’. The views expressed in this presentation are those of Speaker(s). The Institute of Chartered Accountants of India may not necessarily subscribe to the views expressed by the speaker(s). The information cited in this presentation has been drawn from various sources. While every efforts have been made to keep the information cited in this presentation error free, the Institute or any office do not take the responsibility for any typographical or clerical error which may have crept in while compiling the information provided in this presentation. Further, the information provided in this presentation are subject to the provisions contained under different acts and members are advised to refer to those relevant provision also. For clarifications write to us at
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This standardised PPT may be used by any person with due acknowledgement to the Indirect Taxes Committee of ICAI.
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3. (except Place of Supply)
IGST Provisions
(except Place of Supply)
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4. Levy and Collection of IGST – Sec 5
To be levied on all interstate supplies of goods and / or services;
Supplies to be in the course of inter- State trade or commerce;
Value determined u/s 15 of CGST Act (Value of taxable supply);
At the rates notified by CG – 5%, 12%, 18%, 28%;
Rates not to exceed 40%;
To be paid by every taxable person;
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5. Levy and Collection of IGST – Sec 5
IGST on goods imported will be levied and collected as per Section 3 of Customs Tariff Act including valuation;
CG has the power to specify the categories of supply of goods and/ or services on which RCM shall apply;
IGST to be paid on RCM basis w.r.t supplies received from un- registered person;
CG has power to specify categories of services on which tax will be paid by e-commerce operators as if such services are supplied by such operators.
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6. Principles for Determining Supply of Goods and/or Services - Sec 7 and 8
Location of supplier of Goods / Services
(State X)
State X
Intra - State supply
State Y
Supply in the course of inter-state trade or commerce
* Subject to provisions of Section 10,11,12,13 relating to place of supply of goods and/ or services
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7. Section 7 of IGST Act, 2017 – Principles to determine a supply as an inter-State Supply
Determination of supply of goods and/ or services as Inter-State supply
CRITICAL factors: Where the below 2 are in DIFFERENT STATES / UT
Location of the supplier and
Place of supply determined u/s 10,11,12 or 13 of IGST Act
Specific INCLUSIONS:
Supply of goods in the course of import, till they cross the customs frontiers of India;
Supply of services in the course of import;
Supply when place of supply is outside India but supplier is in India (Export);
Supply to or by a SEZ developer or an SEZ unit;
Residuary supply: Any supply in the taxable territory and which is not an intra-State supply;

8. Section 8 of IGST Act, 2017 – Principles to determine a supply as an intra-State Supply
Determination of supply of goods and/ or services as Intra-State supply
CRITICAL factors: Where the below 2 are in the SAME STATE
Location of the supplier and
Place of supply determined u/s 10,11,12 or 13 of IGST Act
Specific EXCLUSIONS:
Supplies to or by a SEZ developer/ SEZ unit;
Importation of goods till they cross the customs frontiers of India.
Supplies made to a Tourist (S.15) (Refund of IGST to Tourists)

9. GST on Goods Intra-State Supply Inter-State Supply CGST-SGST
‘From’ location
‘To’ location
‘To’ location
IGST
Dual tax – CGST-SGST
Registered office not relevant; location of goods is relevant
Intra-State supply, if ‘from’ and ‘to’ in one State
One tax – IGST (higher rate)
Movement for ‘delivery’ relevant; even stock-transfer taxable
Imports – Basic customs (BCD) + IGST

10. GST on Services Intra-State Supply Inter-State Supply CGST-SGST
Place of usage of service or recipient’s address of GST registration
Supplier’s address of GST registration
Place of usage of service
IGST
Dual tax – CGST-SGST
Place of usage relevant
‘Test’ of such place listed for various services
One tax – IGST (higher rate)
Imports – receiver to pay IGST
When ‘place of usage’ not fixed, use recipient’s address

11. Illustrations Supply Supplier Place of Supply Result Goods Karnataka
Tamil Nadu
Inter-State (IGST)
Services
Pondicherry
Kerala
Chandigarh
Intra-State (CGST/SGST)
Punjab
Delhi
Intra-State (CGST/SGST)
Rajasthan

12. Supply in Territorial Waters Sec 9
Will be the coastal State or Union territory where the nearest point of the appropriate baseline is located.
Example:
Repair services are provided by a company in Delhi on a ship moored off the coast of Kochi for a shipping company from United Kingdom, the place of supply of the repair services will not be the waters but Kochi.
Lease of ocean exploration equipment by a company in Chennai to a company incorporated in Mumbai to carry out oil exploration off the coast of Andhra Pradesh. the location of supplier will be Andhra Pradesh, albeit of a Chennai company, especially in the second and subsequent months.
Where the location of the supplier is in the territorial waters, the location of such supplier
Where the place of supply is in the territorial waters, the place of supply OR
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13. Refund of IGST paid on supply of goods to outbound tourist Sec 15
IGST paid on supplies to outbound tourists will be refunded if such goods are taken out of India
Conditions and safeguards to be prescribed
Refund allowed only if the goods which are supplied are obtained from a registered taxable person who has complied with all requirements, including those relating issue of invoices
‘Tourist’ means a person not normally resident in India, who enters India for a stay of not more than 6 months for legitimate non-immigration purpose.
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14. Zero Rated Supply - Sec 16 Zero Rated Supply
Credit of input tax may be availed for making zero-rated supplies, even if such supply is an exempt supply.
Refund available under either of the following options:
Supply of goods of services or both under bond or LTU; or
Supply of good or services or both on payment of IGST.
Zero Rated Supply
Export of Goods or Services or both
Supply of Goods or Services or both to a SEZ Developer or SEZ Unit
© Indirect Taxes Committee, ICAI

15. Apportionment of tax and settlement of funds - Sec 17
Inter-State Supply (to)
IGST Paid (on)
Quantum of IGST
Transfer (to)
Unregistered recipient
IGST paid on inter- State supplies and import of goods or services
Equivalent Central tax applicable on said supplies in intra- State supply
Union
Composition taxable person
Registered taxable person not eligible to input tax credit
Balance amount of IGST
State, its respective share of inward
Registered taxable person eligible to input tax credit but does not avail it within period specified
Union, share of inward supplies to
@ If this amount cannot be reliably allocated, then rule-of-proportion – total supplies of that State/UT compared to total inter-State supplies during the financial year
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16. Transfer of input tax credit - Sec 18
IGST
Appropriation
Allocation (to)
Credit of IGST paid availed
Utilized to pay CGST
Union – Central tax account
Utilized to pay SGST
State – State tax
Utilized to pay UTGST
Union – UT tax
@ of respective State or UT
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17. Refund of IGST wrongfully collected and deposited - Sec 19
A taxable person has considered a supply to be inter-State supply and paid IGST on the same. The transaction is subsequently found to be intra-State supply
He will be granted refund of the amount of IGST paid
Manner and conditions to be prescribed
A taxable person has considered a transaction to be intra-State supply and paid CGST / SGST on the same. The transaction is subsequently held to be inter-State supply
He is not required to pay interest on IGST payable
© Indirect Taxes Committee, ICAI

18. Provisions of CGST applicable to IGST - Sec 20
All provisions relating to CGST Act shall mutatis mutandis apply to IGST Act, to the extent not expressly covered in IGST Act;
TDS shall be 2%;
TCS in case of e-commerce operator to be 2%;
Penalty under IGST Act will be the sum total of penalty leviable under CGST and SGST Act.
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19. Import of Services made on or after appointed day - Sec 21
If Import of Services made after appointed day:
Even if initiated before appointed day, tax liability under IGST
If tax had been paid in full under earlier law, no tax under IGST
If tax had been paid in part under earlier law, “balance amount of tax” under IGST
Note: Invoice or payment if received or made in full or part before the appointed day, shall be deemed to be initiated before the appointed day
© Indirect Taxes Committee, ICAI

20. Power to make Rules - Sec 22
Power to make Rules lies with Central Government based on recommendation of GST Council;
Rules may be made for prescribing all or any matters under provisions of IGST Act;
The power to give retrospective effect to the rules or any of them from a date not earlier than the appointed day;
Any rules made may provide for penalty upto Rs.10,000 for contravention thereof;
GST Council has powers given under Article 279A of the Constitution.
© Indirect Taxes Committee, ICAI

21. Power to make regulations and Laying of rules, regulations and notifications - Sec 23 and 24
Board empowered to make regulations which should not be inconsistent with the provisions of the IGST Act and the Rules;
The Act permits making of rules by Government, issuance of regulation by Board and issuance of notification by the Government;
Such rule, regulation and notification, which is a part of delegated legislation is placed before the Parliament;
It is laid before the Parliament, as soon as may be after it is made or issued, when the Parliament is in session, for a total period of thirty days which may be comprised in one session or in two or more successive sessions;
Before the expiry of the session or successive sessions both Houses may make suitable modifications and would have effect in such modified form.;
However, any such modification or annulment shall be without prejudice to the validity of anything previously done under that rule or regulation or notification, as the case may be.
© Indirect Taxes Committee, ICAI

22. Removal of Difficulties - Sec 25
If the Government identifies that there is a difficulty in implementation of any provision of the GST Legislations, it has powers to issue a general or special order, to carry out anything to remove such difficulty;
Such activity of the Government must be consistent with the provisions of the Act and should be necessary or expedient;
Maximum Time limit for passing such order shall be 3 years from the date of effect of the IGST Act.
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23. Thank You For any Clarification, Please Contact
Indirect Taxes Committee of ICAI
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