Clarification regarding applicability of Notification No. 45/2017-Customs dated 30.06.2017 on goods which were exported earlier for exhibition purpose/consignment basis

Supply exemption: goods sent for exhibition or consignment are not treated as supply or zero rated for reimport.

The Board clarifies that sending goods out of India for exhibition or on consignment does not constitute a supply and therefore is not a zero rated supply; no LUT or bond is required for that outward movement. Consequently, the requirement in Serial No. 1(d) of Notification No. 45/2017 to pay integrated tax at re import is inapplicable, and such re imports should fall under the residuary Serial No. 5 entry of the Notification, including cases involving related persons or unaccepted consignments, subject to the prescribed return period.