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🏡🧾 Intra-State Supply under GST

🧭 What is “Intra-State Supply”?

📜 As per Section 8 of the IGST Act, a supply is said to be Intra-State when:

➡️ The location of supplier and the place of supply are in the same State or Union Territory (UT)
📌 And it’s not a supply to or by a Special Economic Zone (SEZ)

💡 So, what's the tax treatment?

✔️ CGST (Central GST)
➕
✔️ SGST/UTGST (State/Union Territory GST)
❌ No IGST here!

🧪 Real-Life Examples

1️⃣ Goods sold within the same state 🛒

🧪 Example:
A shopkeeper in Pune, Maharashtra sells a laptop to a customer in Mumbai
📍Location of supplier = Maharashtra
📍Place of supply = Maharashtra
✅ Intra-State Supply → CGST + SGST

2️⃣ Services provided within the same state 💇‍♂️

🧪 Example:
A salon in Bengaluru provides services to a resident of Mysuru
📍Both in Karnataka
✅ Intra-State Supply

3️⃣ Goods delivered without crossing state boundaries 🚫🚛

🧪 Example:
Furniture ordered online from a Delhi warehouse and delivered within Delhi
📍Supplier & delivery = Delhi
✅ CGST + SGST applies

🚫 Not Considered Intra-State:

Even if the supplier and recipient are in the same state, the following do NOT qualify:

❌ Supplies to or by an SEZ 🏢

📜 Always considered Inter-State, even within same state

🧪 Example:
Company in Chennai supplies goods to an SEZ unit in Chennai
👉 Still Inter-State → IGST applies!

❌ Imports 🌊

📌 All imports are treated as Inter-State
Even if goods land in Mumbai and the importer is also in Mumbai!

📜 Section-wise Breakdown

📘 Law What it Says
Section 8, IGST Act             Same state = Intra-State (unless SEZ involved)
Section 2(56), CGST Act             Defines “India” (includes UTs, territorial waters)
Section 2(91), CGST Act             Defines “Location of supplier”
Place of Supply rules             Refer Section 10 (goods) & Section 12 (services)

💡 How to Know It’s Intra-State?

Ask these questions:

❓ Is the supplier and place of supply in the same state/UT?
❓ Is this supply NOT to/from an SEZ?
✅ If yes to both = Intra-State

🧠 Quick Summary

Supply Type Intra-State? ✅ Tax Levied
Goods from Delhi to Delhi ✅ Yes CGST + SGST
Services from Jaipur to Jaipur ✅ Yes CGST + SGST
Goods from Kolkata to SEZ (in Kolkata) ❌ No IGST
Import from USA to Mumbai ❌ No IGST + Customs
Stock transfer within same state (1 GSTIN) ✅ Yes Not a supply (unless separate GSTINs)
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