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Microlesson · 5-min read

Place of Supply - Transportation of Goods including Mail/Courier [Section 12(8) IGST Act]

# Place of Supply: Transportation of Goods (incl. Mail/Courier)

## Rule

Recipient's StatusPlace of Supply
RegisteredLocation of recipient
UnregisteredPlace where the goods are handed over for transportation

## Key Concept

For unregistered recipients, the handover point (i.e., where the goods are physically given to the transporter) — NOT the origin city of the transporter, NOT the destination — determines PoS.

## Note on Goods Transported Outside India

Under a separate sub-section (not in this chunk's syllabus scope), if transportation is to a place outside India, PoS is the destination of goods. Within the syllabus scope, focus on the registered-vs-unregistered binary above.

Worked example

### Example 1

Example — GTA service for registered/unregistered recipient

Mr. Ron (Registered in Pune) gets goods transported from Mumbai to Ludhiana via ABC Transporter (Mumbai).

Solution (Ron registered): PoS = Pune (location of recipient).

Variation (Ron unregistered): PoS = Mumbai (where goods were handed over for transportation).

⚠️ Common exam mistakes

  • Taking destination city as PoS for unregistered recipients — it's the handover (origin) point.
  • Taking supplier's location as PoS — supplier's location is generally irrelevant to PoS determination.
  • Forgetting to identify recipient's registration status first.
Bare-Act text Section 12(8) · IGST Act, 2017 · click to expand
Section 12(8), IGST Act: The place of supply of services by way of transportation of goods, including by mail or courier to,— (a) a registered person, shall be the location of such person; (b) a person other than a registered person, shall be the location at which such goods are handed over for their transportation.
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