My client has GSTIN in Delhi and has a property in Uttar Pradesh, client charges IGST to registered person in Uttar Pradesh (tenant) and tenant in turn charges CGST and SGST to sub tenant of up another registered person. Whether Delhi based assessee can charge IGST on its property located in Uttar Pradesh?

In present case, registered person in Delhi undertakes to supply rental services of his property in Uttar Pradesh to the person located in Uttar Pradesh and such registered person does not have any place of business in Uttar Pradesh. Section 22 of the CGST Act, 2017, every supplier shall be liable to be registered under this Act in the State or Union territory, from where he makes a taxable supply of goods or services or both. Thus, location of supplier shall not be the place where supplies are made but the place from where he makes a taxable supply. Accordingly, the location of supplier shall be Delhi. Further, as per Section 12(3) of IGST Act, 2017, place of supply in case of renting of immovable property is the location of such property. Accordingly, IGST shall be charged in such cases.