IGST on in bond transfers: in warehouse sales attract IGST while customs duty remains deferred until ex bonding. Transfer or sale of imported goods while deposited in a Customs bonded warehouse constitutes a taxable supply and is subject to IGST as an inter State supply, with the value of the supply determined under the GST valuation provisions. Customs duty (including basic customs duty and IGST under the Customs Tariff) remains deferred while goods are in the bonded warehouse and is payable only on ex bonding at the assessable value fixed at import; both the in bond IGST liability and deferred customs duty may therefore arise on the same goods at different stages.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
IGST on in bond transfers: in warehouse sales attract IGST while customs duty remains deferred until ex bonding.
Transfer or sale of imported goods while deposited in a Customs bonded warehouse constitutes a taxable supply and is subject to IGST as an inter State supply, with the value of the supply determined under the GST valuation provisions. Customs duty (including basic customs duty and IGST under the Customs Tariff) remains deferred while goods are in the bonded warehouse and is payable only on ex bonding at the assessable value fixed at import; both the in bond IGST liability and deferred customs duty may therefore arise on the same goods at different stages.
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