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No need to re-register for GST: AAR

No need to re-register for GST: AAR

The Karnataka bench of the GST Authority for Advance Rulings (AAR) has held that a separate GST registration is not required in the state (the place of supply) by a subcontractor who was executing an infrastructure project. Upholding the spirit of ‘Ease of Doing Business’ in its recent ruling, the bench said the subcontractor can raise the invoice by charging integrated goods and service tax (IGST) from its office in Noida, Uttar Pradesh.
IGST is levied in case of an interstate supply of goods and services. Rulings given by the AAR have a persuasive value. Tax practitioners say that if this ruling is adopted pan-India, it will go a long way in reducing costs — both the cost of registration and other administrative costs for business entities.

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