Export refund under GST

[THYAGARAJAN KALYANASUNDARAM]

Dear experts,

One of my clients exporting drug medicine through airway which is purchasing within India and paying GST tax. Further, he realise the payment through the aggregator who is also in India and by paying only INR to my client. However, the goods will be exported directly to the foreign buyer with invoice and mentioning their name & address.

In this scenario, my query is that,

1. whether he is eligible to obtain LUT?

2. Whether he can apply for refund u/s 54 of GST Act.

Thanks in Advance.

AI Summary

Export proceeds in Indian rupees: LUT may be accepted if RBI guidelines followed; refund claim requires disclaimer certificate.
Acceptance of a Letter of Undertaking (LUT) for supplies to countries outside India and to SEZ developers or units is permissible irrespective of whether payments are made in Indian rupees or convertible foreign exchange, provided realization of export proceeds is in accordance with applicable RBI guidelines; realization of export proceeds of services in Indian rupees is allowed where RBI permits. A refund of integrated tax on exports may be claimed under the refund provisions subject to submission of a required disclaimer certificate. Where goods are tax paid domestically prior to export, a LUT is not required.