MEIS licenses

[Kusalava InternationalLimited]

What is the Rate of Tax on Sale of intangible Items like MEIS licenses and others from export incentive scheme.

[Kishan Barai]

No Tax on transferring MEIS license to other Importer / Exporter as it is done online but MEIS Broker do charge for their services, for those services charge 18% would be attracted

[MUKUND THAKKAR]

please check your items under which items you had obtain MEIS and charged GST accordingly for sales of MEIS.

[Guest]

The reply was "please check your items under which items you had obtain MEIS and charged GST accordingly for sales of MEIS."

If we export "GST Exempted Goods" then there will not be any tax

and if we export GST 5% rated Goods" then there will be 5% GST:

Is this the correct interpretation ?

[Guest]

GST Rate on MEIS might be 12% same is not clear yet.

Read this article it might help you.

http://www.business-standard.com/article/economy-policy/sale-of-scrips-under-export-promotion-schemes-to-attract-12-gst-117080400040_1.html

[Ganeshan Kalyani]

Duty Credit Scrips fall under HSN 4907 attracting GST@NIL , as given under Notification no. 2/2017-CTR dated 28.06.2017 as updated from time to time. Thanks.

AI Summary

GST Implications on MEIS License Sales: No Tax on Online Transfers, 18% on Broker Services, Check Export Goods Rates. A discussion on the Goods and Services Tax (GST) applicable to the sale of intangible items like MEIS licenses from export incentive schemes. One participant clarifies that transferring MEIS licenses online incurs no tax, but broker services attract an 18% charge. Others suggest checking the GST rate based on the items under which MEIS was obtained, with GST rates varying based on the goods exported. Another participant mentions a possible 12% GST rate, while another states that Duty Credit Scrips fall under HSN 4907, attracting no GST according to a specific notification.