TaxTMI 
TaxTMI 
Dear Sir / Madam
We are planning for import material by advance authorisation and our finished product will be supplied to DTA against Invalidation of EPCG (buyer). Its it deemed exports.? Shall eligible for deemed exports benefits? kindly advice!!!
Deemed exports
17 Oct 2024 
11 Replies 
1636 Views Asked by
Deemed exports: supply against EPCG invalidation qualifies the domestic supplier for deemed export benefits under trade policy.
Supplies made to a domestic buyer against an EPCG invalidation letter are treated as deemed exports, and the domestic manufacturer supplying capital goods is eligible for deemed export benefits. An EPCG authorisation holder may source capital goods from a domestic manufacturer through invalidation, and such supplies qualify for deemed export treatment and any corresponding benefits under GST rules. The distinction between Advance Authorisations issued for exports versus for deemed exports should be observed when claiming benefits. (AI Summary)
Supplies made to a domestic buyer against an EPCG invalidation letter are treated as deemed exports, and the domestic manufacturer supplying capital goods is eligible for deemed export benefits. An EPCG authorisation holder may source capital goods from a domestic manufacturer through invalidation, and such supplies qualify for deemed export treatment and any corresponding benefits under GST rules. The distinction between Advance Authorisations issued for exports versus for deemed exports should be observed when claiming benefits. (AI Summary)