Supply to SEZ

[Kaustubh Karandikar]

XYZ Ltd. Intend to supply the goods to SEZ on payment of GST under claim for refund. In the tax invoice they need to show the GST amount for claiming the refund. However, the SEZ customer will not be paying this GST to XYZ. Under this situation what is the remedy for XYZ? Can they show Value + GST= Total Less Discount to the extent of GST amount? Or any other appropriate method?

AI Summary

XYZ Ltd. advised to supply goods to SEZ without GST using a bond or letter of undertaking, avoiding refund claims. XYZ Ltd. plans to supply goods to a Special Economic Zone (SEZ) and intends to claim a refund for the GST paid. However, the SEZ customer will not pay this GST amount. XYZ Ltd. inquires whether they can issue an invoice showing the total value plus GST, then deduct a discount equivalent to the GST amount. The response suggests supplying the goods without paying GST by using a bond or letter of undertaking, eliminating the need for a refund claim.