IGST applicable on freight amount in case of export

[KARAN VERMA]

Sir

I am exporting goods on CIF basis with payment of IGST and charge freight from foreign customer. Now, my question whether GST also applicable on freight amount.

If after paying IGST on freight, whether i am eligible for refund of same tax paid on freight from custom.

AI Summary

IGST Applies to CIF Value in Exports; Exporters Can Claim Full Refund Under Rule 96 CGST Rules An individual inquired about the applicability of IGST on freight charges when exporting goods on a CIF basis and whether they are eligible for a refund on the IGST paid on freight. A respondent explained that under Rule 96 of the CGST Rules, the shipping bill serves as an application for a rebate on taxes paid on exports, based on the value shown, either FOB or CIF. Another contributor clarified that in CIF exports, the shipping bill includes a breakdown of costs. It was noted that IGST applies to the CIF value, and exporters can claim a full refund, referencing a specific customs circular.