Payment Received form Facebook ireland in USD

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A client received a payment in USD from Facebook Ireland, raising questions about whether it constitutes an export of services. The discussion clarifies that if the transaction qualifies as an export of services, an LUT (Letter of Undertaking) is indeed required for supplies without IGST. Furthermore, it's confirmed that a refund application can be filed for unutilised input service credits related to such export transactions.

sri23031990

sri23031990 (Querist)
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13 August 2021 one of my client received payment from facebook ireland in USD , so its covered under export of service,
Is LUT Require in this case ??
can we filed for refund applications towards refund of unutilized credit of input services used for export of services??

Udaya Chandran

Udaya Chandran (Expert)
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13 August 2021 A particular transaction is decided as an export of services based on a few rules, unless we have the complete details of the transaction like what, how it happened. It is difficult to determine the same. LUT is required for the supply of services or goods without payment of IGST.

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CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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13 August 2021 It's covered under export of service. LUT required in this case.
Yes, you can file for refund applications towards refund of unutilized credit of input services used for export of services.

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