TIME AND VALUE OF SUPPLY

Section 12:-Time and Value of Supply goods

Sub-section-1 Liability to pay tax on goods shall arise at the time of supply as per the provisions of this
section.

Sub-section-2 Time of supply of goods(Normal Supply)

(a) Date of invoice issued by the supplier OR 30 days from the Supply(Section 31(1)) 30 days)OR

(b) Date on which supplier receives payment

Explanation to (b)

Date on which payment entered in the books of accounts of recipient OR

Date of credit in the bank account whichever is earlier.

Provided that where the supplier of taxable goods receives an amount up to one thousand rupees in

excess of the amount indicated in the tax invoice, the time of supply to the extent of such excess amount
shall, at the option of the said supplier, be the date of issue of invoice in respect of such excess amount

Explanation.1––For the purposes of clauses (a) and (b), “supply” shall be deemed to have been made to the
extent it is covered by the invoice or, as the case may be, the payment.

Explanation.2––For the purposes of clause (b), “the date on which the supplier receives the payment” shall

be the date on which the payment is entered in his books of account or the date on which the payment is
credited to his bank account, whichever is earlier.

Sub Section-3 Time of supply of goods (Reverse Charge Basis)

(a) Date of receipt of goods OR

(b) Date of payment entered in the books of accounts of recipient OR
Date of payment debited in the bank accounts whichever is earlier

(c) 30days from the date of issue of invoice or any other document to that supply.

Provided that where it is not possible to determine the time of supply under clause (a) or clause (b) or
clause (c), the time of supply shall be the date of entry in the books of account of the recipient of supply.
Section-13:-Time of Supply of Services(Normal Services)

Sub Section-1.Time of Supply of Services: Liability to pay tax on Services shall arise at the time of supply in
accordance with the provisions of this section.

Sub section-2. Time of supply of service shall be the earliest of the following dates:

(a) Date of issue of invoice,(within 30 days section31(1)) OR

Date of receipt whichever is earlier OR
(b) Date of provision of service (if invoice not issued within 30 days Section 31(1))OR
Date of receipt whichever is earlier OR

In case where the provisions of Clause a Clause b do not apply

(c) The date on which the recipient shows the receipt of services in his books of account.

Sub-Section-3.RCM–Time of supply of services (Reverse Charges Basis)

(a) Date of payment entered in books of accounts of the recipient OR

Date of payment debited in bank accountwhichever is earlierOR
(b) 60 days from the date of issue of invoice or any other document.

Provided thatwhere it is not possible to determine by clause (a) or (b) then date of entry in the books of
accounts in recipient of supply;

In case of associated enterprises, supplier is located outside India; time of supply is date of entry in books
of recipient of supply OR Date of Payment.

Sub-section.4 Supply of Vouchers

a) Date of issue of voucher.

b) Date of redemption of voucher in all other cases.

Sub-section.5 Incase unable to determine under the provisions of Sub Sections 2, 3 and 4 time of supply
shall be.

Date of Return to be filed or in any other case date on which the tax paid.

Sub-section.6 Addition value received the date of receipt.

Time of Supply
 Supply of Goods
Section 12 Sub-sec.2
a) Date of issue of invoice
OR 30 days from the Supply
(Section 31(1)) 30 days) OR
b) Date on which supplier
receives payment OR
Date on which payment
entered in the books of
accounts of recipient OR
Date of credit in the bank
account whichever is earlier.
Supply of Services
Section 13 Sub-sec.2
a)Date of issue of
invoice,(within 30 days
section31(1)) OR
Date of receipt whichever is
earlier OR
b)Date of provision of service
(if invoice not issued within
30 days Section 31(1)) OR
Date of receipt whichever is
earlier OR
In case where the provisions
of Clause a Clause b do not
apply
c) The date on which the
recipient shows the receipt of
services in his books of
account.
In case where the provisions
of Clause(a)(b) do not apply
Then the date on which the
recipient shows the receipt of
services in his books of
account.
Supply of Goods RCM Supply of Services RCM
Section 12 Sub-sec.3 Section.13 Sub-section.3.
a). Date of receipt of goods a)Date of payment entered in
OR books of accounts of the
recipient OR
Date of payment debited in
bank accountwhichever is
earlierOR
b) Date of payment entered b)60 days from the date of
in the books of accounts of issue of invoice or any other
recipient ORDate of payment document.
debited in the bank accounts
whichever is earlier
c) 30days from the date of In case of associated
issue of invoice or any other enterprises, supplier is located
document. outside India; time of supply is
date of entry in books of
recipient of supply OR Date of
Payment
Provided that where it is not Provided that where it is not
possible to determine the possible to determine by
time of supply under clause clause (a) or (b)then date of
(a) or clause (b) or clause (c), entry in the books of accounts
the time of supply shall be in recipient of supply;
the date of entry in the books
of account of the recipient of
supply