SUPPLY TRANSACTION – INTRA STATE FOR SUPPLIER BUT INTER STATE FOR RECIPIENT


I come across lot of debate happening on the subject of payment of reverse charge tax under section 5(4) of IGST Act without unregistered supplier violating the provisions of compulsory registration in case of supply in the course of inter state supply of taxable goods and services. In the attached article, I have concluded that it is possible to have a transaction which is intra state from the suppliers perspective but would be inter state transaction from recipient perspective. I am sure reading this would give you another dimension on the subject and you would find sense in the provision of section 5(4) of IGST Act. As the topic is highly debatable especially when the government through its answers on [email protected] GOI is not able to take a firm stand on the issue and changing the stand very frequently. You reactions to my opinion would be most welcome.