IGST REFUND ON EXPORTS
This query is : Resolved
05 October 2024
Resolved and deleted.
12 August 2025
IGST Refund on Exports
When a registered taxpayer exports goods or services, they can claim a refund of the IGST paid on inputs and input services used in making the export.
1. Types of Exports:
Export of Goods without payment of IGST:
Export is zero-rated under GST, meaning no IGST is charged on export invoices (assuming the exporter opts for LUT - Letter of Undertaking).
The exporter can claim refund of input tax credit (ITC) accumulated on inputs/input services.
Export of Goods with payment of IGST:
Exporter pays IGST on exports and later claims refund of the IGST paid.
2. Eligibility for Refund:
Export made by a registered person.
Export should be either physical export or deemed export as defined.
The exporter should either export under LUT (without IGST payment) or pay IGST on exports and then claim refund.
Refund of unutilized ITC or IGST paid can be claimed.
3. Documents Required for Refund Claim:
Export invoice.
Shipping bill.
LUT or bond copy (if exporting without IGST payment).
GST returns filed (GSTR-1, GSTR-3B).
Bank realization certificate (BRC) or Foreign inward remittance certificate (FIRC).
Other supporting documents as per jurisdictional GST authorities.
4. Procedure to Claim IGST Refund:
File FORM GST RFD-01 online within 2 years from the relevant date of export.
Upload required documents and submit application.
Refund claim is processed by the tax department after verification.
Refund is credited to the exporter’s bank account.
5. Points to Remember:
Export is zero-rated supply (IGST rate = 0%), so no tax is charged to foreign buyer.
Exporter uses LUT to export without paying IGST; can claim refund of accumulated ITC.
If IGST is paid, refund of IGST paid on export can be claimed.
Timely filing of refund claims and proper documentation is critical.
IGST refund is not available for non-registered exporters or for exports under non-compliant circumstances.
When a registered taxpayer exports goods or services, they can claim a refund of the IGST paid on inputs and input services used in making the export.
1. Types of Exports:
Export of Goods without payment of IGST:
Export is zero-rated under GST, meaning no IGST is charged on export invoices (assuming the exporter opts for LUT - Letter of Undertaking).
The exporter can claim refund of input tax credit (ITC) accumulated on inputs/input services.
Export of Goods with payment of IGST:
Exporter pays IGST on exports and later claims refund of the IGST paid.
2. Eligibility for Refund:
Export made by a registered person.
Export should be either physical export or deemed export as defined.
The exporter should either export under LUT (without IGST payment) or pay IGST on exports and then claim refund.
Refund of unutilized ITC or IGST paid can be claimed.
3. Documents Required for Refund Claim:
Export invoice.
Shipping bill.
LUT or bond copy (if exporting without IGST payment).
GST returns filed (GSTR-1, GSTR-3B).
Bank realization certificate (BRC) or Foreign inward remittance certificate (FIRC).
Other supporting documents as per jurisdictional GST authorities.
4. Procedure to Claim IGST Refund:
File FORM GST RFD-01 online within 2 years from the relevant date of export.
Upload required documents and submit application.
Refund claim is processed by the tax department after verification.
Refund is credited to the exporter’s bank account.
5. Points to Remember:
Export is zero-rated supply (IGST rate = 0%), so no tax is charged to foreign buyer.
Exporter uses LUT to export without paying IGST; can claim refund of accumulated ITC.
If IGST is paid, refund of IGST paid on export can be claimed.
Timely filing of refund claims and proper documentation is critical.
IGST refund is not available for non-registered exporters or for exports under non-compliant circumstances.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Opting our of sec 44AD
- INTEREST APPLICABLE ON ITC REVERSAL PORTION
- Regarding appeal to GSTAT
- LC charges in relation to Asset purchased should be Capitalised ?
- Copyright software
- Value of property in capital gain
- Transporter Declaration form
- Multiple trade mark
- Regarding TDS Applicability For Director Remuneration
- SALE OF MOTOR CAR BY REGISTERED INDIVIDUAL
- Taxation on Swing Trading Income (No Other Income)
- GST Treatment of Insurance Commission for Existing GST Holder
- Cash gift by grand mother to her grand daughter
- Tax amount diff in Gstr1 and 3B in tax compare reports
- Tds on GST in connection with sale to public company
- Restoration of certificate of practice
- Regarding change in correspondence address in SSP portal
- No Compliences after incorporation
- USEFUL LIFE OF USED/SECOND HAND COMMERCIAL VEHICLES
- Claiming TDS deducted by builder on Hardship compensation and Corpus
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
CAclubindia
