MERCHANT EXPORTER

[PARMENDERSINGH KOCHAR]

As per GST a Manufacturer Exporter can Export Goods without payment of IGST on Bond / LUT, and Similarly and Merchant Exporter can Export goods without Payment of IGST on Bond / LUT.

Exporter Procedure vide Circual No 26/2017 prescribed by the Board is silent on Manufacturer and Merchant Exporter.

My Question is, How will Manufacturer raise invoice to an Exporter with IGST or without IGST ?

[PAWAN KUMAR]

Dear Sir,

As per my view, the transaction of supply in case of export will be done thru. Bill to ship to basis.

The merchant will be as buyer and ultimate customer out of india will be consignee and in such case, the GST will be charged as per buyer,s location which in turn prepare documents for subsequent export without payment of IGST undet bond/LUT.

[Kishan Barai]

With the onset of GST, extant procedures relating to export of goods viz. claim of rebate/refund, stuffing of containers at the factory, warehouse or any other place from where the goods are intended to be exported etc. would require review of the existing procedures. In this regard, attention is drawn to notification No's 42/2001-CE (N.T.) to 45/2001-CE (N.T.) both dated 26.6.2001 detailing the procedure to be followed for the export of goods on payment of terminal excise duty and 19/2004-CE (N.T.) and 20/2004-CE (N.T.), both dated 06.09.04, without payment thereof.

[Ramesh Kothari]

In my opinion

Merchant exporter can directly export undet bond or LUT from Manufacturer premises under factory stuffing

0 % GST Invoice raised by Mfr favoting to ME Qmentioning supply meant for export without payment of IGST

However take 2nd opinion to clarify urself and request if get different opinion Pl mail to

 

AI Summary

Export without IGST: merchant exporters may ship under bond/LUT with manufacturer issuing zero rated GST invoices for export.
Exports may be effected under bond or letter of undertaking without payment of IGST; supplies can follow a bill-to-ship-to model where the merchant is the domestic buyer and the overseas consignee is the exporter. Practically, the manufacturer may issue a zero-rated GST invoice to the merchant exporter stating the supply is meant for export without payment of IGST, and factory stuffing at the manufacturer's premises is indicated as permissible for direct export by the merchant exporter.