Lesser inward Remitance for an export Invoice

[Shan S]

What should be done if the inward remittance received is less than the invoice amount raised for the export of services?

Additionally, if a third-party processor fee is charged for remitting the payment, will this affect the amount to be received under the filed LUT for without payment of tax (GST)? Is there any interest payable under GST, or can the fee be shown with the receipt of the remittance receipt as

supporting documentation?

For example, if the invoice is $1,000, but the fee is $100, resulting in $900 being remitted to the bank and reflected in the FIRC, what should be done about the $100 that was not received? Does the requirement to receive the full invoice amount within one year apply to the $100 shortfall in this case?

AI Summary

GST Export Services: Navigating Invoice Remittance Challenges with Third-Party Processing Fee Deductions A discussion forum explores GST implications when export service invoice remittance is less than the full amount due to third-party processing fees. Participants discuss documentation requirements, export transaction reporting, and potential tax consequences when payment is received with deductions. The consensus suggests maintaining transaction reports and FIRC as supporting evidence, with no significant GST penalties expected if proper documentation demonstrates the fee-related shortfall.