IGST rule on International freight - cannot process Purchase Invoice

It is mandatory for Freight service providers to charge 5% IGST on SEA FREIGHT and 18% IGST on Air freight effective 01/10/2022

This IGST is irrespective of the Intra-state rule.

If supply of goods is our of India, it will be considered as Inter-State and IGST to be charged by the Freight provider.

The Issue

Ver14 has a check dis-allow posting of IGST for Intra-state Purchase Bills. (screenshot below)
Supplier = Bluedart (State code 09)
Buyer = Our company (State code 09)
Place of supply - International. Hence 18% IGST charged on Air Freight service rendered.

The problem
Purchase Invoice cannot be taken in account since checks dis-allow IGST.

please can we have a resolution for this, I assume the quickest method will be removal of the INTRA-STATE check which will resolve many of these issues

1 Like

Hi Umang,

Thanks for bringing this issue up. It is a valid issue. We are considering making place of supply an editable field to mitigate this.

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Hello. That will be great…Thanks

Thanks for reporting issue. PR link: feat: ability to edit Place of Supply by sagarvora · Pull Request #504 · resilient-tech/india-compliance · GitHub