PATMENT OF INTEGRATED GOODS AND SERVICE TAX

[NITIN DESAI]

SIR,

WE ARE MANUFACTURER AND EXPORTER. WE EXPORT OUR GOODS UNDER PAYMENT OF IGST.

MY QUERY IS WHILE PREPARING INVOICE AND SHIPPING BILL ON WHICH VALUE IGST SHALL BE CALCULATED, IT IS ON FOB VALUE OR CFR/CFI VALUE.

FOR SUCH IGST WE HAVE TO CLAIM REFUND ON EXPORT UNDER GSTR-1. IN OTHER WORD HOW CUSTOM DEPARTMENT VERIFY OUR TAXABLE VALUE ON WHICH WE HAVE DEBITED IGST I.E. ON FOB OR CFR OR CFI.

THANKS.

N R DESAI

AI Summary

IGST on Exports: Calculate Based on Transaction Value per Section 15 of CGST Act, 2017; FOB or CFR/CFI Applies. A manufacturer and exporter inquired about the calculation of Integrated Goods and Services Tax (IGST) on exports, specifically whether it should be based on FOB or CFR/CFI value. The responses clarified that IGST should be calculated on the transaction value as per Section 15 of the CGST Act, 2017, which could be either FOB or CFR/CFI, depending on the agreed terms with the foreign customer. The exporter can claim a refund for IGST paid on exports under GSTR-1, and the invoice details in the shipping bill will facilitate the refund process.