GSTR 1 Export of Service where to mention

[Shan S]

Providing Programming Service to foreign clients where is it to be reported in GSTR-1 table? 6a?

in the item details under which % taxable value must be reported? 18% or 0%

Does service fee paid to payment processor which includes gst fees can be claimed as input credit against any domestic invoice? or it should only be applied for refund?

FIRC or BIRC documents are to be uploaded while filing GSTR-1 or is it only needed for showing proof when a query arises?

[Bishal]

RESPONSE TO QUERY:

(1) Providing Programming Service to foreign clients where is it to be reported in GSTR-1 table? 6a?

 >>Providing programming services to foreign clients, it qualifies as an export of service. It has to be Reported in "GSTR-1→ Table 6A: “Exports Invoices”

(2) in the item details under which % taxable value must be reported? 18% or 0%?

 >> Two Options are there:

 In Table 6A, if exported under LUT, report the taxable value with 0% tax rate.

 Or,

 If exported with payment of IGST, report taxable value + 18% tax.

(3) Does service fee paid to payment processor which includes gst fees can be claimed as input credit against any domestic invoice? or it should only be applied for refund?

>>Yes, if your payment processor charges GST, you can claim ITC.

 Since you are providing zero-rated exports, this ITC:

• Can be claimed and used against other domestic tax liability, or
• Refunded if unused (RFD-01 refund application).

(4) FIRC or BIRC documents are to be uploaded while filing GSTR-1 or is it only needed for showing proof when a query arises?

>> No, FIRC/BIRC is not required be uploaded during filing of GSTR-1.

It is required only when applying for refund, or in case of query by GST department to substantiate that payment was received in foreign currency.

[Shilpi Jain]

Providing Programming Service to foreign clients where is it to be reported in GSTR-1 table? 6a?

to be reported in exports table in GSTR-1

in the item details under which % taxable value must be reported? 18% or 0%

18%

Does service fee paid to payment processor which includes gst fees can be claimed as input credit against any domestic invoice? or it should only be applied for refund?

claim credit and go for refund

FIRC or BIRC documents are to be uploaded while filing GSTR-1 or is it only needed for showing proof when a query arises?

these will be required during audit / for claiming refund. Not for GSTR-1

[Shan S]

thank you for the reply- shilpi and bishal.

If LUT filed it would be 0% in item details? or 18% category it should be put

[KASTURI SETHI]

Q. LUT filed it would be 0% in item details? or 18% category it should be put ?

Reply: A person making zero rated supply of goods or services or both will issue normal tax invoice. Rate of tax is to be mentioned. Zero rated does not mean NIL.

[KASTURI SETHI]

Zero rate is one of the slab rates like 1 %, 5%, 12 %, 18%, 28 %. Zero rate  of tax is entirely different from exempt supply  and nil rated supply.

You are to mention the words, '"Export under LUT" on the body of invoice meant for export.

AI Summary

Export reporting in GSTR-1: report exports in Table 6A; use zero-rated under LUT or IGST-paid option. Exported programming services are to be reported in GSTR-1 Table 6A. If exported under Letter of Undertaking (LUT) report the taxable value at 0% (zero-rated); if IGST is paid report taxable value plus IGST. GST charged by payment processors is eligible for input tax credit and may be used against domestic liability or refunded if unused. FIRC/BIRC need not be uploaded with GSTR-1 but must be retained for refund claims or to substantiate foreign currency receipt on query. Export invoices must be normal tax invoices stating the tax rate and noting 'Export under LUT' when applicable.