Can we use chapter 98 for export of goods?

[Kaustubh Karandikar]

Under GST as well as Customs Tariff, Heading 9802 00 00 is for Laboratory chemicals. This can be used only for project imports / imports or the Laboratory Chemicals can be exported also under this head?

[KALLESHAMURTHY MURTHY K.N.]

Chapter 98 under CGST Rules is meant for provisional assessment as required u/s 60 where the value of the goods or services or both is unable to determine. The supplier has to give reasons in writing for payment of tax on a provisional basis and get the order passed by the Proper Officer. The query is raised in Nov.2022, by this time the problem may be solved.

[Raghunandhaanan rvi]

All goods other than entries in the export licensing schedule along with appendices are freely exportable. the free exportability, however, is subject to any other law in force. Goods not listed in the export policy schedule are freely exportable without conditions under FT(D&R) Act 1992, Notification, Public Notice, etc. Thus, in my view, goods under CTH 9802 are also freely exportable.

AI Summary

Provisional assessment permits provisional tax payment pending officer order; exportability of laboratory chemicals remains subject to other laws. Provisional assessment under Chapter 98 allows payment of tax on a provisional basis when value cannot be determined; the supplier must give written reasons and secure an order from the Proper Officer. Goods not listed in the export policy schedule are freely exportable, so laboratory chemicals under the relevant tariff classification are in principle freely exportable, subject to any other applicable laws or restrictions.