Omission of clause (b) of section 13(8) of IGST Act 2017: Place of Supply for Intermediary Services to Shift to Recipient’s Location, Enabling Export Benefits for Indian Service Providers

The 56th meeting of the GST Council was held in New Delhi on September 03, 2025 under the chairpersonship of the Union Finance & Corporate Affairs Minister Smt. Nirmala Sitharaman. The GST Council inter-alia made the recommendations relating to changes in GST tax rates, provide relief to individuals, common man, aspirational middle class and measures for facilitation of trade in GST.

Amendment in place of supply provisions for intermediary services under section 13(8) of the IGST Act: The Council recommended omission of clause (b) of section 13(8) of IGST Act 2017. Accordingly, after the said law amendment, the place of supply for “intermediary services” will be determined as per the default provision under section 13(2) of the IGST Act, 2017 i.e. the location of the recipient of such services. This will help Indian exporters of such services to claim export benefits.

The Press Release can be accessed at: https://www.pib.gov.in/PressReleasePage.aspx?PRID=2163555