10. Place of supply of goods other than supply of goods imported into, or exported from India.––
(1) The place of supply of goods, other than supply of goods imported into, or exported from India, shall
be as under,––
(a) where the supply involves movement of goods, whether by the supplier or the recipient or by
any other person, the place of supply of such goods shall be the location of the goods at the time at
which the movement of goods terminates for delivery to the recipient;
(b) where the goods are delivered by the supplier to a recipient or any other person on the
direction of a third person, whether acting as an agent or otherwise, before or during movement of
goods, either by way of transfer of documents of title to the goods or otherwise, it shall be deemed
that the said third person has received the goods and the place of supply of such goods shall be the
principal place of business of such person;
(c) where the supply does not involve movement of goods, whether by the supplier or the
recipient, the place of supply shall be the location of such goods at the time of the delivery to the
recipient;
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[(ca) where the supply of goods is made to a person other than a registered person, the place of
supply shall, notwithstanding anything contrary contained in clause (a) or clause (c), be the location
as per the address of the said person recorded in the invoice issued in respect of the said supply and
the location of the supplier where the address of the said person is not recorded in the invoice.
Explanation.—For the purposes of this clause, recording of the name of the State of the said
person in the invoice shall be deemed to be the recording of the address of the said person;]
(d) where the goods are assembled or installed at site, the place of supply shall be the place of
such installation or assembly;
1. The words “being a business vertical” omitted by Act 32 of 2018, s. 4 (w.e.f. 1-2-2019).
2. Ins. by Act 31 of 2023, s. 4 (w.e.f. 1-10-2023).
9
(e) where the goods are supplied on board a conveyance, including a vessel, an aircraft, a train or
a motor vehicle, the place of supply shall be the location at which such goods are taken on board.
(2) Where the place of supply of goods cannot be determined, the place of supply shall be determined
in such manner as may be prescribed.
11. Place of supply of goods imported into, or exported from India.––The place of supply of
goods,––
(a) imported into India shall be the location of the importer;
(b) exported from India shall be the location outside India.
12. Place of supply of services where location of supplier and recipient is in India.––(1) The
provisions of this section shall apply to determine the place of supply of services where the location of
supplier of services and the location of the recipient of services is in India.
(2) The place of supply of services, except the services specified in sub-sections (3) to (14),––
(a) made to a registered person shall be the location of such person;
(b) made to any person other than a registered person shall be,––
(i) the location of the recipient where the address on record exists; and
(ii) the location of the supplier of services in other cases.
(3) The place of supply of services,––
(a) directly in relation to an immovable property, including services provided by architects,
interior decorators, surveyors, engineers and other related experts or estate agents, any service
provided by way of grant of rights to use immovable property or for carrying out or co-ordination of
construction work; or
(b) by way of lodging accommodation by a hotel, inn, guest house, home stay, club or campsite,
by whatever name called, and including a house boat or any other vessel; or
(c) by way of accommodation in any immovable property for organising any marriage or
reception or matters related thereto, official, social, cultural, religious or business function including
services provided in relation to such function at such property; or
(d) any services ancillary to the services referred to in clauses (a), (b) and (c),
shall be the location at which the immovable property or boat or vessel, as the case may be, is located or
intended to be located:
Provided that if the location of the immovable property or boat or vessel is located or intended to be
located outside India, the place of supply shall be the location of the recipient.
Explanation.––Where the immovable property or boat or vessel is located in more than one State or
Union territory, the supply of services shall be treated as made in each of the respective States or Union
territories, in proportion to the value for services separately collected or determined in terms of the
contract or agreement entered into in this regard or, in the absence of such contract or agreement, on such
other basis as may be prescribed.
(4) The place of supply of restaurant and catering services, personal grooming, fitness, beauty
treatment, health service including cosmetic and plastic surgery shall be the location where the services
are actually performed.
(5) The place of supply of services in relation to training and performance appraisal to,––
(a) a registered person, shall be the location of such person;
(b) a person other than a registered person, shall be the location where the services are actually
performed.
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(6) The place of supply of services provided by way of admission to a cultural, artistic, sporting,
scientific, educational, entertainment event or amusement park or any other place and services ancillary
thereto, shall be the place where the event is actually held or where the park or such other place is located.
(7) The place of supply of services provided by way of,—
(a) 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 organisation of any of the events or services referred to in clause (a), or
assigning of sponsorship to such events,––
(i) to a registered person, shall be the location of such person;
(ii) to a person other than a registered person, shall be the place where the event is actually
held and if the event is held outside India, the place of supply shall be the location of the
recipient.
Explanation.––Where the event is held in more than one State or Union territory and a
consolidated amount is charged for supply of services relating to such event, the place of supply of
such services shall be taken as being in each of the respective States or Union territories in proportion
to the value for services separately collected or determined in terms of the contract or agreement
entered into in this regard or, in the absence of such contract or agreement, on such other basis as may
be prescribed.
(8) The place of supply of services by way of transportation of goods, including by mail or courier
to,––
(a) a registered person, shall be the location of such person;
(b) a person other than a registered person, shall be the location at which such goods are handed
over for their transportation.
1***]
(9) The place of supply of passenger transportation service to,—
(a) a registered person, shall be the location of such person;
(b) a person other than a registered person, shall be the place where the passenger embarks on the
conveyance for a continuous journey:
Provided that where the right to passage is given for future use and the point of embarkation is not
known at the time of issue of right to passage, the place of supply of such service shall be determined
in accordance with the provisions of sub-section (2).
Explanation.––For the purposes of this sub-section, the return journey shall be treated as a
separate journey, even if the right to passage for onward and return journey is issued at the same time.
(10) The place of supply of services on board a conveyance, including a vessel, an aircraft, a train or a
motor vehicle, shall be the location of the first scheduled point of departure of that conveyance for the
journey.
(11) The place of supply of telecommunication services including data transfer, broadcasting, cable
and direct to home television services to any person shall,—
(a) in case of services by way of fixed telecommunication line, leased circuits, internet leased
circuit, cable or dish antenna, be the location where the telecommunication line, leased circuit or cable
connection or dish antenna is installed for receipt of services;
(b) in case of mobile connection for telecommunication and internet services provided on
post-paid basis, be the location of billing address of the recipient of services on the record of the
supplier of services;
1. Proviso omitted by Act 8 of 2023, s. 161 (w.e.f. 1-10-2023).
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(c) in cases where mobile connection for telecommunication, internet service and direct to home
television services are provided on pre-payment basis through a voucher or any other means,––
(i) through a selling agent or a re-seller or a distributor of subscriber identity module card or
re-charge voucher, be the address of the selling agent or re-seller or distributor as per the record of
the supplier at the time of supply; or
(ii) by any person to the final subscriber, be the location where such pre-payment is received
or such vouchers are sold;
(d) in other cases, be the address of the recipient as per the records of the supplier of services and
where such address is not available, the place of supply shall be location of the supplier of services:
Provided that where the address of the recipient as per the records of the supplier of services is not
available, the place of supply shall be location of the supplier of services:
Provided further that if such pre-paid service is availed or the recharge is made through internet
banking or other electronic mode of payment, the location of the recipient of services on the record of
the supplier of services shall be the place of supply of such services.
Explanation.––Where the leased circuit is installed in more than one State or Union territory and a
consolidated amount is charged for supply of services relating to such circuit, the place of supply of such
services shall be taken as being in each of the respective States or Union territories in proportion to the
value for services separately collected or determined in terms of the contract or agreement entered into in
this regard or, in the absence of such contract or agreement, on such other basis as may be prescribed.
(12) The place of supply of banking and other financial services, including stock broking services to
any person shall be the location of the recipient of services on the records of the supplier of services:
Provided that if the location of recipient of services is not on the records of the supplier, the place of
supply shall be the location of the supplier of services.
(13) The place of supply of insurance services shall,––
(a) to a registered person, be the location of such person;
(b) to a person other than a registered person, be the location of the recipient of services on the
records of the supplier of services.
(14) The place of supply of advertisement services to the Central Government, a State Government, a
statutory body or a local authority meant for the States or Union territories identified in the contract or
agreement shall be taken as being in each of such States or Union territories and the value of such supplies
specific to each State or Union territory shall be in proportion to the amount attributable to services
provided by way of dissemination in the respective States or Union territories as may be determined in
terms of the contract or agreement entered into in this regard or, in the absence of such contract or
agreement, on such other basis as may be prescribed.
13. Place of supply of services where location of supplier or location of recipient is outside
India.––(1) The provisions of this section shall apply to determine the place of supply of services where
the location of the supplier of services or the location of the recipient of services is outside India.
(2) The place of supply of services except the services specified in sub-sections (3) to (13) shall be the
location of the recipient of services:
Provided that where the location of the recipient of services is not available in the ordinary course of
business, the place of supply shall be the location of the supplier of services.
(3) The place of supply of the following services shall be the location where the services are actually
performed, namely:—
(a) services supplied in respect of goods which are required to be made physically available by
the recipient of services to the supplier of services, or to a person acting on behalf of the supplier of
services in order to provide the services:
Provided that when such services are provided from a remote location by way of electronic
means, the place of supply shall be the location where goods are situated at the time of supply of
services:
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1
[Provided further that nothing contained in this clause shall apply in the case of services supplied
in respect of goods which are temporarily imported into India for repairs or for any other treatment or
process and are exported after such repairs or treatment or process without being put to any use in
India, other than that which is required for such repairs or treatment or process;]
(b) services supplied to an individual, represented either as the recipient of services or a person
acting on behalf of the recipient, which require the physical presence of the recipient or the person
acting on his behalf, with the supplier for the supply of services.
(4) The place of supply of services supplied directly in relation to an immovable property, including
services supplied in this regard by experts and estate agents, supply of accommodation by a hotel, inn,
guest house, club or campsite, by whatever name called, grant of rights to use immovable property,
services for carrying out or co-ordination of construction work, including that of architects or interior
decorators, shall be the place where the immovable property is located or intended to be located.
(5) The place of supply of services supplied by way of admission to, or organisation of a cultural,
artistic, sporting, scientific, educational or entertainment event, or a celebration, conference, fair,
exhibition or similar events, and of services ancillary to such admission or organisation, shall be the place
where the event is actually held.
(6) Where any services referred to in sub-section (3) or sub-section (4) or sub-section (5) is supplied
at more than one location, including a location in the taxable territory, its place of supply shall be the
location in the taxable territory.
(7) Where the services referred to in sub-section (3) or sub-section (4) or sub-section (5) are supplied
in more than one State or Union territory, the place of supply of such services shall be taken as being in
each of the respective States or Union territories and the value of such supplies specific to each State or
Union territory shall be in proportion to the value for services separately collected or determined in terms
of the contract or agreement entered into in this regard or, in the absence of such contract or agreement,
on such other basis as may be prescribed.
(8) The place of supply of the following services shall be the location of the supplier of services,
namely:––
(a) services supplied by a banking company, or a financial institution, or a non-banking financial
company, to account holders;
(b) intermediary services;
(c) services consisting of hiring of means of transport, including yachts but excluding aircrafts
and vessels, up to a period of one month.
Explanation.––For the purposes of this sub-section, the expression,––
(a) “account” means an account bearing interest to the depositor, and includes a non-resident
external account and a non-resident ordinary account;
(b) “banking company” shall have the same meaning as assigned to it under clause (a) of
section 45A of the Reserve Bank of India Act, 1934 (2 of 1934);
(c) ‘‘financial institution” shall have the same meaning as assigned to it in clause (c) of
section 45-I of the Reserve Bank of India Act, 1934 (2 of 1934);
(d) “non-banking financial company” means,––
(i) a financial institution which is a company;
(ii) a non-banking institution which is a company and which has as its principal business
the receiving of deposits, under any scheme or arrangement or in any other manner, or
lending in any manner; or
1. Subs. by Act 32 of 2018, s. 6 for the second proviso (w.e.f. 1-2-2019)
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(iii) such other non-banking institution or class of such institutions, as the Reserve Bank
of India may, with the previous approval of the Central Government and by notification in the
Official Gazette, specify.
1* * * * *
(10) The place of supply in respect of passenger transportation services shall be the place where the
passenger embarks on the conveyance for a continuous journey.
(11) The place of supply of services provided on board a conveyance during the course of a passenger
transport operation, including services intended to be wholly or substantially consumed while on board,
shall be the first scheduled point of departure of that conveyance for the journey.
(12) The place of supply of online information and database access or retrieval services shall be the
location of the recipient of services.
Explanation.––For the purposes of this sub-section, person receiving such services shall be deemed to
be located in the taxable territory, if any two of the following non-contradictory conditions are satisfied,
namely:––
(a) the location of address presented by the recipient of services through internet is in the taxable
territory;
(b) the credit card or debit card or store value card or charge card or smart card or any other card
by which the recipient of services settles payment has been issued in the taxable territory;
(c) the billing address of the recipient of services is in the taxable territory;
(d) the internet protocol address of the device used by the recipient of services is in the taxable
territory;
(e) the bank of the recipient of services in which the account used for payment is maintained is in
the taxable territory;
(f) the country code of the subscriber identity module card used by the recipient of services is of
taxable territory;
(g) the location of the fixed land line through which the service is received by the recipient is in
the taxable territory.
(13) In order to prevent double taxation or non-taxation of the supply of a service, or for the uniform
application of rules, the Government shall have the power to notify any description of services or
circumstances in which the place of supply shall be the place of effective use and enjoyment of a service.
14. Special provision for payment of tax by a supplier of online information and database access
or retrieval services.––(1) On supply of online information and database access or retrieval services by
any person located in a non-taxable territory and received by a non-taxable online recipient, the supplier
of services located in a non-taxable territory shall be the person liable for paying integrated tax on such
supply of services:
Provided that in the case of supply of online information and database access or retrieval services by
any person located in a non-taxable territory and received by a non-taxable online recipient, an
intermediary located in the non-taxable territory, who arranges or facilitates the supply of such services,
shall be deemed to be the recipient of such services from the supplier of services in non-taxable territory
and supplying such services to the non-taxable online recipient except when such intermediary satisfies
the following conditions, namely:––
(a) the invoice or customer’s bill or receipt issued or made available by such intermediary taking
part in the supply clearly identifies the service in question and its supplier in non-taxable territory;
(b) the intermediary involved in the supply does not authorise the charge to the customer or take
part in its charge which is that the intermediary neither collects or processes payment in any manner
nor is responsible for the payment between the non-taxable online recipient and the supplier of such
services;
1. Sub-section (9) omitted by Act 8 of 2023, s. 162 (w.e.f. 1-10-2023).
14
(c) the intermediary involved in the supply does not authorise delivery; and
(d) the general terms and conditions of the supply are not set by the intermediary involved in the
supply but by the supplier of services.
(2) The supplier of online information and database access or retrieval services referred to in
sub-section (1) shall, for payment of integrated tax, take a single registration under the Simplified
Registration Scheme to be notified by the Government:
Provided that any person located in the taxable territory representing such supplier for any purpose in
the taxable territory shall get registered and pay integrated tax on behalf of the supplier:
Provided further that if such supplier does not have a physical presence or does not have a
representative for any purpose in the taxable territory, he may appoint a person in the taxable territory for
the purpose of paying integrated tax and such person shall be liable for payment of such tax.
1
[14A. Special provision for specified actionable claims supplied by a person located outside
taxable territory. —(1) A supplier of online money gaming as defined in clause (80B) of section 2 of the
Central Goods and Services Tax Act, 2017 (12 of 2017), not located in the taxable territory, shall in
respect of the supply of online money gaming by him to a person in the taxable territory, be liable to pay
integrated tax on such supply.
(2) For the purposes of complying with provisions of sub-section (1), the supplier of online money
gaming shall obtain a single registration under the Simplified Registration Scheme referred to in
sub-section (2) of section 14 of this Act:
Provided that any person located in the taxable territory representing such supplier for any purpose in
the taxable territory shall get registered and pay the integrated tax on behalf of the supplier:
Provided further that if such supplier does not have a physical presence or does not have a
representative for any purpose in the taxable territory, he shall appoint a person in the taxable territory for
the purpose of paying integrated tax and such person shall be liable for payment of such tax.
(3) In case of failure to comply with provisions of sub-section (1) or sub-section (2) by the supplier of
the online money gaming or a person appointed by such supplier or both, notwithstanding anything
contained in section 69A of the Information Technology Act, 2000 (21 of 2000), any information
generated, transmitted, received or hosted in any computer resource used for supply of online money
gaming by such supplier shall be liable to be blocked for access by the public in such manner as specified
in the said Act.