https://www.taxtmi.com/caselaws?id=298582 The AAR-Jharkhand ruled that manufacturing tooling kits per overseas customer specifications constitutes a separate taxable supply under GST. Though costs are reimbursed by foreign customers in convertible foreign exchange, this does not qualify as export since the tooling kits remain in India and are used for manufacturing forgings that are subsequently exported. The ruling clarified that only goods physically shipped outside India's territorial waters constitute export. Therefore, amounts recovered from foreign customers for tooling kit manufacturing attract CGST/SGST or IGST and do not qualify for zero-rated treatment under export provisions. en-us Mon, 07 Jan 2019 00:00:00 +0530 Fri, 28 Mar 2025 12:25:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=298582 The AAR-Jharkhand ruled that manufacturing tooling kits per overseas customer specifications constitutes a separate taxable supply under GST. Though costs are reimbursed by foreign customers in convertible foreign exchange, this does not qualify as export since the tooling kits remain in India and are used for manufacturing forgings that are subsequently exported. The ruling clarified that only goods physically shipped outside India's territorial waters constitute export. Therefore, amounts recovered from foreign customers for tooling kit manufacturing attract CGST/SGST or IGST and do not qualify for zero-rated treatment under export provisions. Case-Laws GST Mon, 07 Jan 2019 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=298582