LUT not applied but export of services made - Goods and Services Tax

[Guest]

Dear Experts,

First of all let me thank you all for the great work you are doing by providing youe espert opinion.

We are the exporter of services and as such we applied for LUT for 2017-18 and 2018-19, however somehow we missed to file LUT of 2019-20 on time and it was filed in the month of Aug 2019. instead of 31-Mar-2019 and we had exported services during the period 01-Apr-2019 to 31-Aug-2019 and all the money were realized within 30 days of invoice date.

So need the expert opinion as to whether it is necessary to pay IGST for the service exports made between the period 01-Apr-2019 to 31-Aug-2019 and then claim it back.

Please advice.

AI Summary

No IGST Penalty for Late LUT Filing on Exported Services; Procedural Lapse Not Penalized Per Circular Guidance An exporter of services sought expert advice on whether Integrated Goods and Services Tax (IGST) must be paid for services exported between April 1, 2019, and August 31, 2019, due to a delayed filing of the Letter of Undertaking (LUT) for the 2019-20 period. Experts advised that the delay in filing LUT is a procedural lapse and should not attract penalties, referencing a circular that allows refunds even when LUT is not timely filed. They suggested that there is no need to seek condonation for the delay, emphasizing the importance of polite interactions with tax authorities.