Page 11 - Chap24Computation of GST

Ü In case of letting out of first and third buildings,
Ø the location of the supplier is in Noida (Uttar Pradesh) and
Ø the place of supply is the location of the immovable property, i.e. Noida as per section 12(3) of
the IGST Act, 2017.

Ü Since the location of the supplier (Uttar Pradesh) and the place of supply (Noida) are in the same
State, the same is an intra-State supply as per section 8(1) of the IGST Act, 2017 and is thus,
liable to CGST and SGST.
9. Securities are specifically excluded from the definition of goods and services under GST. Therefore,
sale of securities will not be liable to GST.

10. Ü Paragraph 7 of the Schedule III to CGST Act, 2017 provides that supply of goods from a place in
the non-taxable territory to another place in the non-taxable territory without such goods
entering into India (third country shipments) is treated neither as a supply of goods nor a
supply of services.

Ü Thus, there is no GST liability on such sales. Further, since such goods do not enter India at any
point of time, customs duty and IGST leviable on imported goods will also not be leviable on
such goods.

CCP 24.01.03.00
Jankinandan Associates, a proprietorship firm in Lucknow registered under GST, manufactures
three taxable products 'Zeta', 'Sigma' and 'Omega'. The following information has been provided by

Jankinandan Associates for a particular tax period.
(i)‘Omega' and 'Zeta' are sold in the domestic market as well as exported outside India. The
domestic turnover (excluding export sales) of 'Zeta' and 'Omega' are ₹ 21 lakh and ₹ 15 lakh
respectively. Export turnover of 'Zeta' with payment of IGST (not eligible to avail benefit of

merchant exports under N/No. 41/2017) is ₹ 3.75 lakh. 'Omega' worth ₹ 15 lakh is exported.
(ii) Tax on 'Sigma' is payable under reverse charge. 'Sigma' is being sold only domestically and the
domestic turnover of 'Sigma' is ₹ 9 lakh.
(iii) The firm is also engaged in providing taxable consultancy services. Consultancy services of ₹ 30
lakh have been provided to unrelated clients located in foreign countries. In all cases,

consideration has been received in convertible foreign exchange.
(iv) The firm sold the shares held by it for ₹ 375 lakh which were earlier purchased at a price of ₹ 360
lakh.
(v) Due to shortage of funds, it sold one of its factory buildings for ₹ 180 lakh (excluding stamp duty

of ₹ 3.50 lakh, being 2% of value). The entire consideration is received post issuance of
completion certificate; building was occupied thereafter.
(vi) The firm earned an interest of ₹ 6 lakh on the money invested in fixed deposits with Gaba Bank.
The details of the inputs/input services availed by the firm during the said tax period are as under:

(i) The firm received legal services from an advocate in relation to product 'Zeta' for a
consideration of ₹ 5.25 lakh.
(ii) Remaining inputs and input services availed during the tax period worth ₹ 52.50 lakh and ₹
22.50 lakh respectively have been commonly used for supply of goods and services mentioned

above.
You are required to compute the net GST liability of Jankinandan Associates, payable from

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