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CMA Final · Indirect Tax Laws and Practice · Place of Supply

Vertex Engineering of Vadodara supplies a turbine to Orion Power, a registered person in Odisha. Vertex's team assembles the turbine at Orion's plant in Angul, Odisha. The goods are dispatched from Vadodara and the invoice address of Orion is its Mumbai head office. What is the place of supply under Section 10(1)?

The place of supply is Angul. Where goods are assembled or installed at site, the place of supply is the place of installation or assembly. The invoice address rule applies only to unregistered recipients, so the Mumbai head office address is irrelevant here.

  1. AVadodara, where dispatch occurs
  2. BMumbai, the head office address on invoice
  3. CAngul, the place of installation or assemblyCorrect
  4. DOdisha capital, as the state's seat

Explanation

Where goods are assembled or installed at site, the place of supply is the place of such installation or assembly, which is Angul. Clause (ca) on invoice address applies only to unregistered recipients, and Orion is registered, so Mumbai is wrong.

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