Lut/bond not filled but goods exported w/out payment of igst

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This query is : Resolved

Rubul (Querist)

16 August 2017 Dear Members
One of my known has exported his goods out of India without payment of IGST. He have not filled any LUT or Bond with the authority. However he have filled a declaration wherein he have stated that he will file a running bond with the jurisdictional authority. Same is also not filled yet. As he is not a regular exporter and he occasionally export his product. Please advise what to do. As GSTR-3B is approaching.

Further please guide me if I am correct at understanding export procedure under GST. My known is a trader. He buys goods from indian vendors by paying GST and supply these goods to both India and outside India.

Now the correct procedure he will follow is, buy goods from Indian market by paying GST and take input credit and adjust it with output GST for supplies made in India. For goods exported out of India he will pay IGST and claim refund of IGST paid for export by filling refund application.

Please comment

CA Suresh Jain

CA Suresh Jain (Expert)

16 August 2017 File the bond now, Or pay the IGST

Vishakha Kejriwal.

Vishakha Kejriwal. (Expert)

16 August 2017 He may follow the procedure of paying IGST and claim refund of the tax paid treating the shipping bill as the refund application. For more clarity on the export procedures you can refer to the Customs Circular 26/2017 dated 1.7.2017.

CA Suresh Jain

CA Suresh Jain (Expert)

17 August 2017 I agree with Ms. Vishakha. , it is for future. Since, export has already taken place on the invoice made by the Supplier, it is advisable to enter in to bond/LUT now.
N. Jain
group.blr@gmail.com

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