our client located in Mumbai having GST registration for Maharashtra state and issued work order to the supplier who is located at west Bengal and having GST registration of that state for construction of immovable property at jarkhand which is another state. both the parties doesnt have GST registration in jharkhand.

1. My question is, as both the service receiver and service provider is not having registration in jarkhand state, service provider can raise IGST invoice with Maharashtra GST number of service receiver. Since it is immovable property though it is in eligible to claim input tax credit by the receiver

2. Is it required to take GST registration at Jarkhand for both the parties

3. If not, service provider can raise invoice with IGST as without quoting receiver GST number on the invoice (B2C) Pls clarify with detailed information

Reply—

If a taxpayer is willing to execute business activities in different state and will have a place of  business in such different state, is required to register in such state. If your client who is registered in Mumbai will do business activities in state of Jharkhand, he would require to take registration in state of Jharkhand. However supplier of service who is registede in West bengal can raise IGST invoice for supply of service in Jharkhand, but he would not be eligible to claim ITC on local purchases.

As service receiver is registered (in Jharkhand state) under GST, it cannot be termed as B2C supply.