19 July 2020
Query: Indian Software Service provider to render Service to Foreign Country (UAE) through Internet from India. Company Raise a Monthly Invoice to UAE in AED value and reported in INR Value Under Export in GSTR 3B Monthly, But, Receipts from UAE as INR Value in NEFT Mode from NRO Account. My Question: 1. This Transaction Treated as Export of Service and Claim GST Exemption ?, 2. If Company Unable to Provide FIRC for this transaction treat also as a Export ? 3. What Type of Documents tobe Maintain for this ? 4. Please Share any Conditions /Rules for avail Exemption under GST Act
25 July 2020
1. One of the condition to be treated as export is that the amount received shall be in foreign currncy. So, as you said the amount received in INR, the same shall not be treated as export for the purpose of GST.
2. FIRC/BRC is mandatory, as it resembles that payment is received in Forex.
I would rather suggest you get the amount in convertible foreign currency to get it treated as exports and once it is exports, you could avail refund of ITC as well an extra benefit.
You could mail at caankithjain@gmail.com for any queries.
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