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 ?

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.