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GST for SEZ

SUBRAMANIAN K (9 Points)

04 December 2017

Hi Sir

Please advice on applicability of GST or IGST for SEZ

Thanks
K Subramanian

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10 Replies

Manu Kumar Rana (New Updates ) (358 Points)
Replied 04 December 2017

HI,

Please refer to this- Notification No. 37 /2017 – Central Tax

Bhavleen Kaur Oberoi (Chartered Accountant) (228 Points)
Replied 04 December 2017

In Case of SUpplies made to SEZ , it is considered to be inter state supply, hence IGST is to be paid if the supplies are made to SEZ with payment of tax. However the same is not to be collected from the respective SEZ , it is to be paid and then its refund can be claimed.

Following is to be mentioned on the Tax Invoice

"SUPPLY TO SEZ UNIT OR SEZ DEVELOPER FOR AUTHORISED OPERATIONS ON PAYMENT OF INTEGRATED TAX".

However if the supplies are made under Bond or LUT , then following should be mentioned on the TAx Invoice

“SUPPLY TO SEZ UNIT OR SEZ DEVELOPER FOR AUTHORISED OPERATIONS UNDER BOND OR LETTER OF UNDERTAKING WITHOUT PAYMENT OF INTEGRATED TAX”

SUBRAMANIAN K (9 Points)
Replied 04 December 2017

thanks...what about in case of service

Bhavleen Kaur Oberoi (Chartered Accountant) (228 Points)
Replied 04 December 2017

The same thing applies in case of services too.

Sheetal Devaki (Proprietor) (171 Points)
Replied 04 December 2017

If supply is utensils to canteen of SEZ units, then ?

SUBRAMANIAN K (9 Points)
Replied 04 December 2017

Sir
Is anything like there is NO TAX for consumables like oil, greese, oil filters, airfilters to SEZ???

Arun (Business) (81 Points)
Replied 04 December 2017

This is a very confusing policy.

When to pay tax and refund, and when to provide invoice without GST at all? Many SEZ companies show some letter and ask for invoice without GST. Not sure what to do

JINENDER MUTREJA (0) (129 Points)
Replied 05 December 2017

file a LUT with your GST department they will give you LUT number after some days and it will be valid for one year then you can supply goods and services to SEZ unit without payment of IGST.

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shashidhar (article assisstance) (40 Points)
Replied 05 December 2017

Since supply made to SEZ unit or developer are consider as ZERO rated, thats is why GST will not be applicable. If charged refund can be claimed on the same.