Skip to content

CS Professional · Goods and Services Tax (GST) and Corporate Tax Planning · Time of Supply

Under the CGST Act, 2017, in case of supply of goods on which tax is payable on reverse charge basis, the time of supply is the earliest of which set of dates?

For reverse charge supply of goods, the time of supply is the earliest of the date of receipt of goods, the date of payment by the recipient, or the day after thirty days from the supplier's invoice date. The sixty-day limit applies to services.

  1. ADate of receipt of goods, date of payment (books or bank debit, whichever is earlier), or the day immediately following thirty days from the date of the supplier's invoiceCorrect
  2. BDate of receipt of goods, date of payment, or the day immediately following sixty days from the date of the supplier's invoice
  3. CDate of the supplier's invoice or the date of receipt of payment by the supplier, whichever is earlier
  4. DDate on which the recipient files the periodical return or pays the tax

Explanation

Section 12(3) fixes the time of supply for reverse charge goods as the earliest of the receipt of goods, the payment date (books entry or bank debit, whichever is earlier), and the day following thirty days from the invoice date. The sixty-day period applies to services, not goods.

Did you get it right without looking?

One question tells you little. A timed set on Time of Supply shows your real accuracy, how long you take and where you lose marks.

Practise Time of SupplyFree diagnostic mock

More Time of Supply questions