Deemed export whether only inter state transaction?

[Yatin Bhopi]

Dear Sir,

Recently notifications issued regarding deemed exports(Noti. 47/48/49).

1. please let me know whether all supplies under deemed export(within same state also) will be considered as a inter state supplies like export and SEZ? or CGST+SGST will be charged in case of intra-state supplies.

2. Further also confirm that there is no provision of suppling goods to EOU\advance authorisation scheme without payment of taxes and only refund can be claim either by supplier of recipient.

[SHIVKUMAR SHARMA]

1. Yes

2..GST Law has specified 4 categories of transactions of goods,As Deemed exports,Where such goods are supplied by a registered person to another specified person but the law does not say that such transactions would be automatically exempt from payment of GST,at appropriate rate.Till any such exemption notification is issued,these supplies would be chargeable to tax at appropriate rate under GST law.

[SHIVKUMAR SHARMA]

Please read my earlier reply at Sl number (1) Yes -Inter state supply & IGST to be charged.

[Yatin Bhopi]

Thanks for replay

For Sr. 1 I have checked the section 7 & 8 of IGST act but there is no any such mettion like SEZ /export/import.

Will you please guide

[KASTURI SETHI]

I support the views of Sh.Shiv Kumar Sharma, an expert.

[Yatin Bhopi]

I am struggling to see the clear mentioning of type of supply as a inter state supply in case of deemed export.

Will you please share relevent section\rules.

Thanks

[Yatin Bhopi]

Dear experts

We have deemed export customers in state and out of states. Please share related text in act \ rules \ Notification regarding charging of IGST or CGST+SGST in case of deemed export.

[Nash Industries I Pvt Ltd]

Intra state supplies to EOU attract CGST+SGST.

Inter State supplies to EOU attract IGST.

The recipient EOU can either avail ITC or claim refund of IGST or CGST+SGST. Alternatively, recipient EOU can give a declaration as per notification 47 & 48/2017 read with Circular 14/2017-GST dated 06.11.2017.

Regards

S.Ramaswamy

[Yatin Bhopi]

Thanks for repling my query.

I have raised new query on below address on same issue. please check.

https://www.taxtmi.com/forum/issue?id=113011

AI Summary

Deemed export classification determines IGST for inter state supplies and CGST+SGST for intra state supplies, with ITC or refund options. Deemed exports are classified by territorial character: inter-state deemed exports attract IGST while intra-state deemed exports attract CGST and SGST. Such supplies are taxable at the appropriate rate unless an exemption notification applies. Specified recipients like EOUs may either avail input tax credit or claim a refund, or provide the prescribed declaration under the notifications and circular to determine tax treatment.