Payment of tax in case of non-remittance of zero rated supply of goods

[Gaurav Chauhan]

Sir,

Please clarify, whether we have to pay any tax in case of the non-remittance of export proceeds within stipulated time period of the zero rated supply of the goods and refund is not claimed on such supply.

AI Summary

Clarification on GST for zero-rated exports: Rule 96B allows refunds without proceeds if RBI writes off the requirement. A query was raised regarding the payment of tax on zero-rated supply of goods when export proceeds are not remitted within the stipulated time and no refund is claimed. The response indicated that Rule 96B permits a refund even if the sale proceeds are not received, provided the requirement is written off by the RBI. It was noted that ideally, zero-rated supplies should not be subject to GST even if the consideration is not received.