Yes, friends, how are you all?
Great, great fun outside.
Sir, it should always be like this.
Always keep smiling, keep smiling,
keep studying, keep understanding things.
After understanding, start applying it.
Keep looking at it in practical life.
What we are studying, what we are understanding, what
effect does it have in practical life?
If someone is talking about time of supply, are you able to
understand what he is saying and give a solution to it?
If someone is talking about supply, are you able to
understand the question of supply and give a solution to it?
Now you have reached this level,
start implementing things practically.
We have talked a lot about theoretical things,
but now we should move towards practical things.
If someone is discussing about GST with you,
go to him and ask him,
Sir, tell me, what is the discussion? I also want to know.
And then try to understand, do you understand what he is
saying?
If you understand what he is saying, then half of your work
is over there.
The objective of taking classes, you have succeeded there.
And the question he is asking, the things he is
understanding, the question he is asking, after that, are
you able to think of a solution for it?
If you are able to think of a solution,
Sir, your objective of taking classes has been achieved.
A tax consultant, a GST consultant, is only expected to
give the right answer to the question asked.
It is a little difficult to give the actual answer on the
spot.
I agree, that you will not be able to quote the actual
section.
But somewhere in your mind, you will know, what is this?
Is this supply or not?
There is a person, like you all ask, there are mortuary
services, there are services to take the dead, there is
transportation of the deceased,
I do this work, will I get GST?
You may not know that this is in Schedule 3.
I can agree to this once.
It is possible that you may not know, you have to go and
see in Schedule 3.
But somewhere in your mind, that yes,
GST is not applicable on this.
So, this is what I want to tell you,
come out of the practical life,
try to listen to what people say about GST, what questions
they ask, and start thinking about their solution in your
own mind.
Nowadays, I see,
I don't want to talk about this, but there are a lot of
motivational gurus, and they are earning millions and
crores.
I don't understand what they are earning.
Frankly speaking,
I don't believe in them.
Sir, motivation,
I want to know from you all, is there less motivation in
your life, that you need motivation from outside?
You don't know the condition of your home?
You don't know how your parents have given you money for
these classes?
Or how your fees have been paid?
You don't know what your relatives have told your parents?
You don't know how much you have been humiliated in life?
Is there less motivation in your life, that you still open
people's videos and ask them to give you motivation?
I don't have motivation in my life,
I can't work.
I feel like a fool.
Till date,
I am in business.
I don't lie, I am in business.
Till date,
I haven't seen any motivational video of any motivational
guru.
Frankly speaking,
I have a lot of motivation in my life.
I will call myself a fool if I leave the motivation of my
life, the story of my life, which only I know, the factor
which only I know.
I will delete it.
And I will take the knowledge that the other person is
giving me.
Why? Sir, that is not motivation, that is inspiration.
And this external motivation will last for 15-20 minutes
and will last for a day.
If you watch a motivational video, it won't affect you for
more than a day.
The inner fire, when you feel the fire in your heart, that
you have to do something in life.
Someone says something to you that what are you?
Look, a boy is doing this, a girl is doing that.
What are you doing?
You are spending your parents' money and you don't have any
status.
Even your parents are poor.
Sir, sometimes things get stuck here.
And that works as motivation.
I call that motivation.
Someone from outside, if you open a video on YouTube, a
person is shouting about something, he is earning money, he
will do his marketing.
Motivation is inside you, not outside.
Wake up the inner fire, the story of your life inside you.
Find that factor in that story that what are the factors
that I should work hard to prove them wrong.
What are the taunts that people have given me that I should
work hard to prove them wrong.
Look at the story of your life.
Why are you depending on others that they will tell me in
the video and then I will work.
I don't understand this.
Maybe a lot of people don't agree with me.
It's okay, it's everyone's opinion.
But I see motivation inside.
I get motivation from inside.
From inside I see that a knowledgeable person is standing
in front of me.
I get motivation from inside that I also want to get
knowledge like him.
At that time I won't open a video that some motivational
video will come and shout and tell me to take knowledge,
then I will take knowledge.
I get fire from inside
but outside external motivation is of no use.
These things don't last long.
People these days are used to free things.
They are used to spoon feeding.
That someone comes and serves food in our plate.
People have become lazy these days.
We have to start a chapter on place of supply.
First of all, why should we read it?
You are watching a pattern.
Whenever I start a chapter
I tell you why we want to read it.
Before this why,
I want to clear a few things from you.
I will ask you some questions and you answer me.
I have told you in starting lectures.
I am telling you again.
For example, there is Mr.
A and Mr.
A has a shirt shop.
He makes shirts.
Mr. B comes to him and says,
Mr. A, give me a shirt for Rs.
I want a white shirt.
He says, okay.
Give me a white shirt for Rs. 1000.
Mr. A gives him a shirt for Rs.
I give him a shirt for Rs. 1000.
That is fine.
The item I am selling is worth it.
Now what do I have to put on it?
I have to put GST.
You know this too.
But if you remember,
I told you a few things in starting.
If you put GST, it is true.
But GST also has three parts.
It has three components.
You have to put those components.
For example, it has three components.
CGST, SGST, and IGST.
If you have to put something, you have to put one of these
three.
What should you put?
The special thing about IGST is that it runs at a single
rate.
If it is 18, it will be 18.
If it is 28, it will be 28.
CGST and SGST
run in a combination.
It is an equal combination.
If a person tells you that
GST and SGST are 18%, and if you talk about CGST and SGST,
then 18 means 9.
9% will be taken by CGST and 9% by SGST.
They are equally divided.
Because in those acts, 9% rate is written.
18% rate is not written in those acts.
CGST rates are
derived from CGST act.
So, in the act, it is written that the rate is 9%.
And what CGST act says, same hubahu ditto, that is what
SGST act says.
So, if CGST act says that 9% rate has to be taken, then in
SGST act also, same hubahu ditto, it will be written that
9% rate will be taken.
And when you combine both, what will be the rate? 18%.
Sir, the doubt is how do we know that we know that GST will
be applied.
Now, how do we know that
IGST is applied in this, of 18% rate?
Or CGST will be applied or SGST will be applied in this?
How do we know this, sir?
According to the situation, how do we know what has to be
applied in this?
What is the answer to this?
How do we know whether IGST is applied or CGST?
Sir, its simple funda is this, its simple funda is this,
let me tell you again.
You have to check two things, point number one, you have to
check location of supplier and second you have to check
place of supply, you have to check these two things, after
checking these two things you will get to know whether you
will get IGST or CGST or SGST
You have to check two things, first one is location of
supplier and second one is place of supply. Location of
supplier means the shopkeeper who is selling the goods.
What is the meaning of location of supplier? The person who
is selling the goods, which location is he at? Location
means which address is registered in GST?
Which address is registered in GST? Which place of business
is registered in GST? Which location is he selling the
goods from?
Suppose I am a trader and I have registered my GST in
Mumbai, I have shown my principal place of business. I have
shown in GST that this is my principal place of business.
So what is my location of supplier? If I am a supplier,
which location will I get? Mumbai. There is no planning in
this. The location from where I am selling the goods, which
I have shown in GST that this is my GST registered address,
this is my principal place of business, my location of
supplier will be that.
Second thing is place of supply.
Which is the place where the supply is being accepted?
Place of supply is that thing.
Which is the location where we are being accepted?
It can be possible in actual or not.
It can be possible in actual.
But as per GST, we are going to read in this chapter that
which place is being supplied.
How will we get to know? Which location will be accepted?
If these two things, if in the same state, means the
location of supplier, suppose if I talk about Maharashtra
state.
Location of supplier is Mumbai.
He has a shop in Mumbai.
He sells shirts from Mumbai.
And what is the place of supply?
Maharashtra state. So, location of supplier and place of
supply, both will be accepted in the same state. Both will
be accepted in the same state. And when both will be
accepted in the same state, then intrastate will be
supplied.
And when both will be accepted in the same state, then
intrastate will be supplied. And when both will be accepted
in the same state, then intrastate will be supplied.
Now, we will read how it is seen. Where is the supply
happening? Location of supplier, place of supply, in the
same state, in the same state, then CGST and SGST will be
applied. If it is in different states, in different union
territories, then what will you charge? If it is different,
then in that case you will charge IGST.
Then you will get IGST. See, is the point clear? What will
we call this? We will call this intrastate supply.
Intrastate supply.
And what will we call this? What is happening in different
states, we will call it interstate.
Interstate supply.
See the point.
Is it clear?
Is it clear? Are you motivated? You are not taking
motivation from outside, you are setting fire inside. Let's
start friends. Hold your heart and sit. Welcome our new
chapter. If possible, clap a little.
The name of the chapter is Place of Supply. Place of Supply
is the name of the chapter. And this chapter will tell us
that supply may be happening at some other location. But
we, as per GST, will assume that the location at which
supply is being done is this location.
Then we have to see the comparison of Place of Supply with
the location at which the supplier is selling. If it is in
one state, then CGST and SGST will be applied. If it is in
different states, then IGST will be applied.
If it is in different states, then CGST and SGST will be
applied. If it is in different states, then IGST and SGST
will be applied.
If you are supplying from a place of business whose
registration you have taken. If you have taken the
registration of that place of business in GST, then it is
fine. You will get the same place of business. It will be
considered as location of supplier.
For example, if I run a shop in Delhi and I have taken the
registration of that shop in GST, then I will get the same
location of supplier.
If I run a shop in Delhi and I have taken the registration
of that shop in GST, then I will get the same location of
supplier. If I run a shop in Delhi and I have taken the
registration of that shop in GST, then I will get the same
location of supplier.
If I run a shop in Delhi and I have taken the registration
of that shop in GST, then I will get the same location of
supplier.
If I run a shop in Delhi and I have taken the registration
of that shop in GST, then I will get the same location of
supplier.
Sir, I have told you that there is a supplier in which the
movement of goods is getting involved. For example, if I
want to build my dream house, then I need strong foundation.
If I want to build my dream house, then I need strong
foundation. If I want to build my dream house, then I need
strong foundation.
So I asked him, will it cost you Rs.
2 lakhs?
He said, yes, it will cost me Rs. 2 lakhs.
I said, no problem.
So, how will it happen?
He said, yes, it will cost me Rs. 2 lakhs.
But, Gupta ji, we also provide service.
We will send your sariya directly to your house.
You don't have to do anything.
You have given us the order.
You can go.
I don't have the sariya right now.
I will get it from the warehouse and supply it to your
house by tomorrow morning or evening.
This is a practical case.
You must have seen, heard and understood.
This is a practical case.
Now, in this case, I know what these goods are.
These are my sariyas.
Are these goods involved in movement?
Whether the supply of goods involves movement or not?
This is my question.
Sir, movement is happening.
The supplier is moving the goods.
When the sariya will come to him, he will directly drop the
sariya to the customer's house.
The goods will be dropped to the customer's house.
So, the supply of goods is happening.
Movement is also being involved.
So, if there is any such supply, in case of supply
involving movement of goods, place of supply is the
location of the goods at that time when the movement
terminates for delivery to the receiver.
When the movement terminates for delivery to the receiver,
place of supply is the location of the supplier.
When the movement terminates for delivery to the receiver,
place of supply is the location
of the supplier.
When the movement terminates for delivery to the receiver,
place of supply is the location of the supplier.
When the movement terminates for delivery to the receiver,
place of supply is the location
The place of supply is in Gurgaon, the movement will end
there.
The movement will end in Gurgaon, in Haryana state.
Location of supplier is in Delhi.
Everything is happening in different states.
So, what will be added to this sales?
CGST, SGST or IGST?
Answer is, IGST will be added.
Sir, now you are understanding why place of supply is
important.
Why are we studying place of supply? Sir, when you know why
I am studying this chapter, your corresponding thinking of
this chapter becomes different.
When we used to study in school, I remember well,
Maths teacher used to come.
I don't want to say anything, but I feel very bad.
Sir, I feel very bad.
I still think.
Maths teacher used to come in 11th or 12th class.
If you have studied Maths in 12th class, then
differentiation, integration, vector, 3D, these chapters
used to be there.
One day, I asked Madam,
Madam, I am a commerce student.
You are teaching me these physics things.
Differentiation, integration.
What is the contribution of this in my life?
Why should I study this chapter?
Madam said, if you want to pass, this chapter is in
syllabus.
NCERT has put you in it.
CBSE has put you in it.
What can I do?
I said, there must be some use of this.
This is differentiation, integration.
There must be some use of this in the background of
commerce.
She said, there is no use.
I said, is there anything written on my forehead?
Is there anything written on my forehead? Why should I
study this chapter?
She said, if you don't want to study this chapter, you can
go out of the class. Sir, I went out of the class for a
week.
For a week, I didn't come.
I didn't come in Maths class.
Neither Madam called me, nor I went.
I used to sit in the class of other subjects.
I didn't go in Maths class.
I got a result in 12th class.
I scored very less in Maths class.
In other subjects, I scored 94, 95, 97.
I scored very less in Maths class.
I didn't even have numbers to tell.
It's okay, Sir.
It's my ego.
Actually, if someone had told me, what is the use of this
chapter, I would have studied that chapter in that way.
I used to study commerce, business studies.
My teacher used to tell me, in business studies, the
chapters you are studying, like planning, organizing,
I remember very well the chapter of 12th class.
He used to tell me, if you open a business in future, you
have to plan out things.
There used to be a chapter on staffing, how to keep the
staff.
He used to say, all these things will come in use in future.
These things are very useful in practical life.
There is a lot of use of economics.
There is a lot of use of accounts.
English also comes in use.
What was the use of that subject?
I have never understood it.
Nor did I have numbers.
At that time, I used to think, if I ever teach in future,
I will definitely tell my students the use.
What is the use of this chapter?
That's why you must have seen, whenever I pick up a chapter
of GST,
I make a background of it for 5-7 minutes.
Why are we studying it?
What is the requirement to understand it?
I don't think there is any teacher in the market, who will
teach you so passionately.
If you have met a person, who is teaching you passionately,
listen to him.
GST is nothing.
I will tell you openly.
GST is nothing.
People have made it a habit.
Come here.
There are 2-3 examples.
Let's finish it.
Supply involving movement of goods, where goods are
delivered to the receiver on the instruction of third
person.
What does this mean?
This means, for example, you are a seller and I am your
buyer.
You are a seller and I am your buyer.
You are a seller.
Let's take your name, Mr. A.
You are a seller.
He is a seller.
And he is sitting in Gurgaon.
And I am
Mr. Buyer.
And I am sitting here in Maharashtra.
I asked you,
I need a truck full of cotton cloth.
I am a cloth dealer.
Give me a truck full of cloth.
I have set you up.
I have given you an order on the phone.
I have given you some advance money.
Now what is your responsibility?
What is your responsibility?
Your responsibility is that the time I have given you, the
time has been fixed.
Till that time, send your truck to my factory in
Maharashtra.
Have I told you anything new in this?
Then why are you not paying attention?
Come here.
I have given you an order on the phone to send the truck to
my factory.
The responsibility of that person is that he will send the
truck to my factory.
But at the same time, a buyer came to me.
And it was a Punjab buyer.
It was a Punjab buyer who came to me.
He said,
Brother, you do one thing.
You supply me.
I also need a truck full of cloth.
At that time, I did not have cloth.
I told this person, do one thing.
You do not supply me.
I have given you money.
You directly supply him.
Have I done anything wrong?
A buyer came to me.
I do not want to send that buyer back.
If I send a buyer back today, my reputation in the market
will be ruined.
Tomorrow, that buyer will not come to my shop again.
Those who run shops will know what I am trying to say.
The buyer will not come to the shop again.
My market will be ruined.
I do not have the material.
I will tell the Punjab Sardarji,
Sardarji, do one thing.
Give me 2-3 days.
I will directly tell my supplier that he will supply you.
This is a model.
Now, I want to know from you.
You are a consultant.
You tell me, what is the place of supply in this?
Sir, we know the location of the supplier.
This is the location of the supplier.
We know this well.
This is my location of the supplier.
What is the place of supply?
Will someone tell me the place of supply?
This is a complex situation.
It is also a practical situation.
Sir, what is the place of supply in this?
Do you understand the case?
Do you want to take a screenshot or a photo?
Shall I proceed? Sir, in this case, my place of supply is
deemed to be a third person.
If you have a third person's instruction, i.e.
an original buyer's instruction, that goods are being sent
to a third person, then it is deemed that the third person,
i.e.
the Maharashtrian person, has received the goods and the
place of supply is the principal place of business of the
third person.
My Maharashtrian person will be considered the place of
supply.
This is the point.
See, what is written in bold letters? In simple words,
where goods are delivered by the supplier to the receiver,
at the instruction of the third person, the place of supply
is the principal place of business of the third person and
not of the actual receiver.
We don't want to look at the Punjabi person.
We want to look at our own.
Sir, there are many examples.
You can cover them in between.
It is a very simple supply.
If the supply is such that there is no movement of goods,
there is no movement of goods in the supply, then in that
case, what will be seen as the place of supply?
It will be the location of the goods at the time of
delivery. delivery to the receiver. You went to a shop in
Parchun, you said, son do one thing, give me a thumbs up.
He gave you a thumbs up.
Is there any movement involved in this supply?
Some kid will say, yes there is a movement involved.
I am drinking a thumbs up from my mouth, it is going to my
stomach.
Is there any movement? Son, not this movement.
I am not talking about this movement.
Is there any movement of goods? Is there any movement of
goods? I went to the shop, he gave me a thumbs up.
There is no movement.
So in that case, what will be the place of supply? We know
the location of the supplier.
I know the location of the person who is selling.
What will be the place of supply? Sir, the place of supply
will be, look, location of goods at the time of delivery to
the receiver.
At that time, what is the location of the goods? When they
are being given in the hands of the buyer, at that time
whatever is the location of the goods, that location will
be considered as the place of supply.
Look at the example, XZ Limited, Mumbai, opens a branch
office in Gurgaon, purchases a building from KTS Builders.
It also enters into separate contract with builder for
purchase of pre-installed office.
Though there will be no GST liability or purchase of
building, because building is covered in our Schedule 3.
Supply will not be accepted.
GST will be imposed on office furniture.
And because there is no movement of furniture, what is the
place of supply? Location at the time of delivery to the
receiver.
Clear the point?
AC example.
You go to showroom, you go to chroma, you buy AC.
Son, if I buy AC, will
I install it myself at home? Will I cut glass from there?
Will I cut ply? Will I install
AC myself? Will I connect it with stabilizer? Will I do it
myself? Sir, they will say that a person will come, he will
install all this for you.
He will install all this.
This is an example.
There is a machine etc.
You have bought a machine, but a person will come and
install the machine.
So, in that case, what will be the place of supply? Sir,
place of supply will be place of installation.
Look at the example.
MA Private Limited purchased a machine from Delhi for being
installed in the factory.
So, what is the place of supply?
Where that machine is being installed, that is our place of
supply.
And come to the last point.
Good supplied on board conveyance, which is very common.
You must have seen that you have gone in a train.
There are long journeys.
Like you go from Delhi to Bombay by train.
Go from Delhi to Jaipur by train.
So, the train is running well.
In between, some people
get on the train.
They say, this is a pen.
3 pens for 5 rupees.
These 3 pens are such that they will change your fate.
Their refill is not over yet.
Then in the next station, another person will get on.
He says, sir, take this shirt.
There are 4 shirts for 150 rupees.
Would anyone like to buy 4 shirts for 150 rupees? Yes sir,
150, 150, 150.
I am coming, brother.
This is how they do it.
What does I am coming mean? He is creating artificial
demand.
He is creating artificial demand.
Do you understand? What I am coming means that the buyers
here, the people sitting here in this compartment of the
train, they feel that a person is buying that thing there.
So, they feel that when a person is buying there, let us
also buy one.
People get on the train to sell something.
Women get on
the train.
Madam, take bangles for this much.
Take bangles.
They get on the train.
You must have seen.
Some people get on the train to eat.
So, sir, in that case, what is their place of supply? They
are also a supplier.
They are also a supplier of goods.
So, why are you leaving that poor brother? In that case,
how to see the place of supply? Come here.
In that case, it is that place of supply of goods supplied
on a train, in an aircraft, in a train, in a vessel, in a
motor vehicle.
So, what will be the place of supply? Location where the
goods have been taken on board.
The location where the goods have been taken on board.
It is a different thing to sell in Jaipur.
But it is possible to sell goods in the previous station
from Jaipur.
So, the station where the goods have been taken on board,
what will be that station? It will be considered as a place
of supply.
Look at the example and then we will finish it.
Mr. X got on the train from New Delhi to Kota.
He got on New Delhi.
And he started selling goods.
He sells the goods taken on board at New Delhi, in the
train at Jaipur.
He started selling goods in Jaipur, the goods which he got
on board at New Delhi.
So, what will be the place of supply? Where the goods have
been taken on board, that is New Delhi and not Jaipur where
they have been sold.
You don't have to see where the goods have been sold.
You have to see where the goods have been taken on board.
Sir, this was the place of supply in the case of goods
where there is no export or import.
There is normal domestic sales.
In that case, how do you see the place of supply? That you
have sent the goods directly to your buyer.
You have to do the installation.
There is a movement of goods.
There is no movement of goods.
You are selling goods in a train.
So, in that case, how do you see the place of supply?
Thank you very much.