UT-1 BOND REGARDING.

[SANJEEV JADHAV]

Dear Sir,

One of our unit received order from SEZ. Please confirm whether UT-1 bond is required to clear the goods without payment of duty to SEZ. We do do not have any other orders of export than SEZ at present.

[KASTURI SETHI]

UT-I is not bond it is letter of undertaking in lieu of bond for export of goods. Clearance to SEZ is export.

[MUKUND THAKKAR]

UT-1 IS Require if you want to cleared goods in SEZ without payment of duty. but you have to produce proof of export with in period of 45days. rest of explain by Sh. Kasturi Sethiji.

[KASTURI SETHI]

I endorse the views of Sh.Mukund Thakkar, Sir.

AI Summary

Letter of Undertaking required for duty-free clearance to SEZ; exporter must furnish proof of export within prescribed period. A Letter of Undertaking (UT-1), functioning in lieu of a bond, is required to clear goods to a SEZ without payment of duty; clearance is treated as export and is conditional on furnishing proof of export within the prescribed period after clearance to validate duty-free treatment.