Sales Against EPCG Authorisation or EOU

[Manish Sulakshane]

Can we removed the goods without charging GST?

If no, than what is the producer of Refund the GST.

Please guide.

[Nash Industries I Pvt Ltd]

GST is payable and the refund can be claimed either by the supplier or the recipient. For the procedure, please refer to Notifications 47-49/ 2017 Central Tax read with Circular No 14/14/2017.

Regards

S.Ramaswamy

[CSSANJAY MALHOTRA]

Mr. Manish,

Your question lacks clarity? Are you an EOU unit making sales to DTA and whether supplies are against EPCG Authorisation given by your Buyer?

If an EOU, whether you are using any Imported Inputs against the supplies in DTA against EPCG?

Supplies against EPCG Authorisation as per DGFT makes person eligible for TED (Terminal Excise Duty Refund), hence, please clarify your exact query to revert accordingly.

[Manish Sulakshane]

Supplies or sales against EPCG Authorisation as per DGFT makes person eligible for TED (Terminal Excise Duty Refund) hence, please clarify that shall we charge the IGST or Not?

[CSSANJAY MALHOTRA]

Yes, you have to charge CGST/SGST or IGST as applicable.

AI Summary

GST chargeability: supplies under EPCG or by EOUs remain taxable and refunds may be claimed under statutory procedures. Supplies made under an EPCG authorisation or by an EOU for DTA sales remain subject to GST and the supplier must charge CGST/SGST or IGST as applicable; refunds of GST can be claimed by either the supplier or the recipient pursuant to the statutory refund procedures, while eligibility for export-promotion refunds (such as terminal excise style relief) is determined separately by the export-authorisation conditions and does not eliminate GST liability.