Fact: M/s. Sonkamal Enterprises Pvt Ltd. (“the applicant”) is engaged in import of Chemicals from JNPT Port, Maharashtra and Kandla Port, Gujarat and we wish to import from Haldia port, West Bengal. Goods are imported and stored in a rented customs warehouse at Haldia Port, where we do not have any establishment or place of operation in West Bengal. Further, we intent to clear the goods in the name of Mumbai head Office and wants to sell the cleared goods to nearby customers in West Bengal by charging IGST by raising the invoice from Mumbai.
Issue Involved: The applicant sought advance ruling in respect of following issues:-
Whether the procedure to raise the invoice from Mumbai Head office for imports received at Haldia Port Kolkata where the applicant do not have any separate GST Registration and Charge IGST from Mumbai to our Customers is correct? Or the applicant have to take separate registration in the state of West Bengal?
If the applicant does not need separate registration in West Bengal, can we do the transaction on Mumbai head office GSTIN, then in case of issuance of e way bill is it correct to mention the GSTIN of Mumbai and Dispatch place of Haldia Port?
Applicant Contention of Law: The applicant contended that they will supply goods from the Custom warehouse, Kolkata therefore place of supply is West Bengal as per sec 10(1) (a) of IGST Act, 2017 and since the applicant is only registered at Maharashtra and supplying the goods on Maharashtra GSTIN Registration Number, therefore the transaction attracts GST and they do not require separate GST Registration in the state of West Bengal. As we will not be storing any goods within the state of West Bengal in our view the location of supplier would be the customs bonded warehouse and will not be required to have registration in West Bengal.
Held: The Hon’ble AAR, Maharashtra vide Advance Ruling no. GST-ARA-48/2018-19/B-123 dated 27.09.2018 stated that no separate registration is required in West Bengal (WB) where invoice is raised from Mumbai HO for imports received at Haldia Port Kolkata and goods sold to customers in WB and observed, when the applicant imports goods into India, such supply shall be treated as Inter State trade or commerce as per section 7(2) of IGST Act 2017, and place of supply (POS) shall be location of importer (i.e. Mumbai) in respect of goods imported into India, as per section 11(a) of IGST Act, 2017. Therefore, place from where the applicant makes a taxable supply of goods shall be his location, i.e. Mumbai office and since the applicant does not have any godown in the State WB, applicant can clear the goods basis invoice issued by Mumbai HO and that applicant can mention the GSTIN of Mumbai HO in the E-way Bill and dispatch place as Customs Warehouse, Kolkata.
Citation: [2018] 100 taxmann.com 213 (AAR – MAHARASHTRA)