Article 246A of CoI : Article 246A: Special provision with respect to goods and services tax.

Explanation using Example

Example 1:

Rajesh owns a small business in Maharashtra that sells handmade crafts. He sells his products both within Maharashtra and to other states like Gujarat and Karnataka. According to Article 246A:

• For sales within Maharashtra, the Maharashtra State Legislature has the power to make laws regarding the Goods and Services Tax (GST) applicable to Rajesh's sales.
• For sales to Gujarat and Karnataka, the Parliament of India has the exclusive power to make laws regarding the GST applicable to these inter-state transactions.

This means Rajesh needs to comply with both state GST laws for intra-state sales and central GST laws for inter-state sales.

Example 2:

Priya runs an online tutoring service based in Delhi, offering classes to students across India. According to Article 246A:

• For services provided to students within Delhi, the Delhi State Legislature has the power to make laws regarding the GST applicable to Priya's services.
• For services provided to students in other states like Uttar Pradesh and Haryana, the Parliament of India has the exclusive power to make laws regarding the GST applicable to these inter-state services.

Priya must ensure she adheres to both state GST laws for services within Delhi and central GST laws for services provided to students in other states.