IGST What will be the place of supply of banking, financial and stockbroking services?

Raju Choudhary

Administrator
Staff member
#1
Ans. As per Section 9(13) of the Revised Model GST Law, the place of supply of banking and other financial services including stock broking services shall be the location of the recipient of service as available on the records of the supplier of services. If the location of recipient of service is not on the records of the supplier, the place of supply shall be the location of supplier of the service.

Example: If ‘A’, a resident of Mumbai opens a bank account in Mumbai with Bank Ltd, and submits his Mumbai residence address, the place of supply of banking services shall be Mumbai.

If ‘B’ goes to bank in Bangalore not having an account with the bank to take a demand draft, the place of supply shall be the location of the supplier i.e. bank in Bangalore issuing the demand draft.