Clarification on Inter-state movement of rigs, tools and spares, and all goods on wheels [like cranes] - GST - States - 14/2017-2018-GST

Government of Goa Department of Commercial Taxes Vikrikar Bhavan, Panaji - Goa - 403001 CCT/26-24/2017-2018/5151 Dated: 7th February , 2018 CIRCULAR (No. 14 /2017-2018-GST) Subject: Clarification on Inter-state movement of rigs, tools and spares, and all goods on wheels [like cranes]- regarding. The issue of Integrated Goods and Services Tax exemption on inter-state movement of various modes of conveyance, between distinct persons as specified in section 25(4) of the Goa Goods and Services Tax Act, 2017, carrying goods or passengers or both; or for repairs and maintenance, [except in cases where such movement is for further supply of the same conveyance] was examined and a circular 1/1/2017-IGST dated 7.7.2017, was issued by Central Government clarifying that such interstate movement shall be treated neither as a supply of goods nor supply of service and therefore would not be leviable to IGST. 2. The issue pertaining to inter-state movement of rigs, tools and spares, and all goods on wheels [like cranes] was discussed in GST Council's meeting and the Council recommended that the circular 1/1/2017-IGST shall mutatis mutandis apply to inter-state movement of such goods, and except in cases where movement of such goods is for further supply of the same goods, such inter-state movement shall be treated 'neither as a supply of goods or supply of service,' and consequently no IGST would be applicable on such movements. 3. In this context, it is also reiterated that applicable CGST/SGST/IGST, as the case maybe, is leviable on repairs and maintenance done for such goods. 4. Difficulty if any, in the implementation of the circular should be brought to the notice of the undersigned. (Dipak M. Bandekar) Commissioner of State Tax Note : Similar circular is issued Central Goods and Services Tax Act, 2017 by Tax Research Unit, Dept. of Revenue, Ministry of Finance, GOI vide Circular No. 21/21/2017-GST dated 22th November, 2017.