Export Services without LUT

[SUSHIL BANSAL]

Dear experts,

our client is providing export services wef August 2023 & filing returns with Nil tax.So far LUT has not been taken.If we take LUT now then whether we will get zero rate benefit for the amounts received so far. If not then whether we need to deposit 18% GST on the Export services provided & then to apply for refund & further how to deposit the tax, through DRC-03/3B of subsequent month.Plz guide.

AI Summary

Client Seeks Advice on Retrospective LUT for Zero-Rated Tax Benefits on Past Exports Without 18% GST Payment A client began providing export services in August 2023 without obtaining a Letter of Undertaking (LUT) and filed returns with nil tax. They now seek advice on whether obtaining an LUT retrospectively would allow them to benefit from zero-rated tax for past exports or if they need to pay 18% GST and apply for a refund. Experts advised that not applying for an LUT timely is a procedural lapse but does not negate the benefit of zero-rated exports. They recommended applying for the LUT now and, if necessary, writing to the jurisdictional officer for condonation of delay, referencing relevant circulars.