In this article, we aim to identify the place of supply without movement of goods.

Place of supply is the location of the goods at the time of delivery to the recipient:

To understand a situation where there is no movement of goods but the location of the recipient is considered to be the place of supply, let us take an illustration – F&M Clothing registered in Maharashtra, opened a store in Karnataka where they purchased capital assets from XYZ Dealers, also located in Karnataka. In this case, the location of the supplier of the goods is Karnataka and the place of the supply is Karnataka, as well as the goods, do not require any movement. Since this is an intrastate supply, the taxes levied on the transaction are CGST and SGST.

Place of supply is the place of assembly or installing of the goods:

To understand a situation where there is no movement of goods but the place of assembly of the goods or installing the goods is considered to be the place of supply, let us take an illustration – F&M Clothing registered in Maharashtra, opened a store in Karnataka where they wished to install generators. They purchased said generators and escalators from XYZ Dealers, also located in Karnataka. In this case, the location of the supplier of the goods is Karnataka and the place of the supply is Karnataka, as well as the goods, do not require any movement. Since this is an intrastate supply, the taxes levied on the transaction are CGST and SGST.

Place of supply is the location where the goods are taken on board when there is a mode of conveyance involved:

To understand a situation where there is no movement of goods but the place of taking the goods on board the mode of conveyance is considered to be the place of supply, let us take an illustration – Mr Bob purchased a USB cable in Maharashtra, online on Bizbay.com registered in Tamil Nadu. Even though the location of the supplier is Tamil Nadu, the USB cable was bought in Maharashtra thus the place of the supply is Maharashtra. Since this is an intrastate supply, the taxes levied on the transaction are CGST and SGST.