Registration is required in the State where assessee has fixed establishment of operation 

Facts: In this case, the applicant is engaged in construction of Cold storage. They are expecting to do some construction work (which comes under works contract) in the state of Rajasthan whereas they are located in the state of Gujarat and registered there in GST. They have place of business in Gujarat and are duly registered there. The Company will be charging IGST on their activity in Rajasthan making it a place of supply. The state share of that IGST will go to the state of Rajasthan as it is the place of supply. The taxpayer believes that he is not required to take registration in the state of Rajasthan.

Issue: Whether the applicant is required to get registered in the state of Rajasthan where the activity is to be undertaken.

Held: The AAR Rajasthan, in this case held that the supplier of service will have to register at the location from where he makes Taxable supplies or is supplying Taxable services if his aggregate turnover in a financial year exceeds twenty lakh rupees (ten lakh rupees in any of special category states).

While supplying services if the supplier of services (i.e.  applicant who in the given case is a Works Contractor and is registered in State of Gujarat) has any place of business/office in the State of Rajasthan i.e. has a fixed establishment for operation in State of Rajasthan (place where the services are to be provided) then he is required to get himself registered in State of Rajasthan.

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