Imports in GST Regime: C.B.E. & C. Flyer No. 23, Dated 1-1-2018
Imports in GST Regime: C.B.E. & C. Flyer No. 23, Dated 1-1-2018
Imports in GST Regime: C.B.E. & C. Flyer No. 23, Dated 1-1-2018
Import of services by a taxable person from a related person or from a Not required Necessarily Required
distinct person
As per the provisions contained in Section 21 of the IGST Act, 2017, all import of services made on or after the
appointed day i.e. 1st July, 2017 will be liable to integrated tax regardless of whether the transactions for such import
of services had been initiated before the appointed day However, if the tax on such import of services had been paid
in full under the existing law, no tax shall be payable on such import under the IGST Act. In case the tax on such import
of services had been paid in part under the existing law, the balance amount of tax shall be payable on such import
under the IGST Act, 2017. For instance, suppose a supply of service for Rs. One crore was initiated prior to the
introduction of GST, a payment of Rs. 20 lacs has already been made to the supplier and service tax has also been
paid on the same, the integrated tax shall have to be paid on the balance Rs. 80 lacs.
Section 13 of the IGST Act,2017 provides for determination of place of supply in cases wherein the location of
the supplier of services or the recipient of services is outside India. Thus, this section provides the place of supply in
relation to international or cross-border supply of services. Place of supply of a service shall determine as to whether
a service can be termed as import or export of service. The specific provisions relating to place of supply for international
supply of services are as below :