Sales made to person residing outside india

Quick Summary
This discussion clarifies how to handle sales made to individuals residing outside India under GST. While exports are generally zero-rated supplies, charging IGST on such transactions requires specific procedures. The key is to correctly report these as zero-rated supplies in GSTR-1 and claim a refund for the IGST paid, especially if a Letter of Undertaking (LUT) was not applied for.

You get refund for the taxes paid 

Zero rated doesn't means exempt it means to nullify the effect of tax.

Benefits to exporters given like duty drawback, rodtep, gst refunds are based on this concept only. These all schemes try to nullify the effect of tax in the supplies being exported.

It is supply of service hence no custom is involved..

As I said earlier it can either be exports as per definition provided in igst act. If doesn't fall under the definition it is not exports.

For exports you can claim refund for igst paid.

If it is not exports and you have paid igst refund can be claimed as excess tax.

For disclosure in returns I have already told before in this forum chat

I wrongly thought , it's export of Goods earlier . Zafar Sir thanks for such good explanation .

You are most welcome

@ prasad ji

in addition to explanation by ca zafar , section 17(1)(2) does not attracts even if exempted goods being exported ( zero rated sale)

 

@ Pankaj ji

Very true since those exempt supply gets covered in zero rated supply

 

 

Please explain exemptiom from customs duty with weight of a goods.

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