GST Amendment – relief to exporters of goods
The exercise of option to export under (1) LUT, or (2) on payment of IGST is left to the exporters. However, in the Month of October 2017, the Government while restoring the tax-free procurements, for EOU’s, under Advance authorization/ EPCG etc., restricted the second option for such exporters.
Recently, the Government vide Notification No. 16/2020-CT dated 23.03.2020 has made an amendment by inserting explanation to Rule 96(10) of CGST Rules, 2017 as amended (with retrospective effect from 23.10.2017).
By virtue of the aforesaid amendment, the option of claiming refund under 2nd option is not restricted to the Exporters who avail just BCD exemption and pays IGST. The amendment is made retrospectively thereby avoiding the anomaly during the intervening period.