GST on CIF amount charged in export invoice
This query is : Resolved
Quick Summary
11 January 2022
1) Export is under Letter of Undertaking without payment of IGST
2) Export invoice includes:
a) taxable value of goods(separately)
b) CIF amount (charged and shown separately in export invoice)
Query:
I read somewhere that in case of CIF export, amount of CIF charges forms part of value of goods and export of goods becomes composite supply.
As per my understanding, (1) as export is under LUT (without payment of IGST) and (2) CIF charges (though charged and shown separately in export invoice) form part of taxable value (as it becomes composite supply), GST is not payable on CIF charges.
Kindly advise whether my understanding is correct. If it is not, kindly guide.
2) Export invoice includes:
a) taxable value of goods(separately)
b) CIF amount (charged and shown separately in export invoice)
Query:
I read somewhere that in case of CIF export, amount of CIF charges forms part of value of goods and export of goods becomes composite supply.
As per my understanding, (1) as export is under LUT (without payment of IGST) and (2) CIF charges (though charged and shown separately in export invoice) form part of taxable value (as it becomes composite supply), GST is not payable on CIF charges.
Kindly advise whether my understanding is correct. If it is not, kindly guide.
11 January 2022
Yes, your understanding is right no GST payable.
11 January 2022
How shall I show that in GSTR1?
Will HSN code be same for both?
or
Will it be different for both?
Shall I report export of goods in Table 6A Exports along with CIF charges?
or
Shall I report export of goods in Table 6A Exports and CIF charges in Table 8D as exempted inter-state supply to unregistered persons?
Will HSN code be same for both?
or
Will it be different for both?
Shall I report export of goods in Table 6A Exports along with CIF charges?
or
Shall I report export of goods in Table 6A Exports and CIF charges in Table 8D as exempted inter-state supply to unregistered persons?
11 January 2022
Report export of goods in Table 6A Exports along with CIF charge. No separate HSN. Report single amount.
11 January 2022
Many Thanks Sir! Your replies are always very helpful!
11 January 2022
You are welcome.......
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