How to Compute Value of supply of goods or services or both between distinct or related persons, other than through an agent under GST

Rule-28 of CGST Rules 2017

28. Val­ue of sup­ply of goods or ser­vices or both between dis­tinct or relat­ed per­sons, oth­er than through an -

The val­ue of the sup­ply of goods or ser­vices or both between dis­tinct per­sons as spec­i­fied in sub-sec­tion (4) and (5) of sec­tion 25 or where the sup­pli­er and recip­i­ent are relat­ed, oth­er than where the sup­ply is made through an agent, shall-

• be the open mar­ket val­ue of such supply;
• if the open mar­ket val­ue is not avail­able, be the val­ue of sup­ply of goods or ser­vices of like kind and quality;
• if the val­ue is not deter­minable under clause (a) or (b), be the val­ue as deter­mined by the appli­ca­tion of rule 30 or rule 31, in that order:

Pro­vid­ed that where the goods are intend­ed for fur­ther sup­ply as such by the recip­i­ent, the val­ue shall, at the option of the sup­pli­er, be an amount equiv­a­lent to nine­ty per­cent of the price charged for the sup­ply of goods of like kind and qual­i­ty by the recip­i­ent to his cus­tomer not being a relat­ed person:

Pro­vid­ed fur­ther that where the recip­i­ent is eli­gi­ble for full input tax cred­it, the val­ue declared in the invoice shall be deemed to be the open mar­ket val­ue of the goods or services.