https://www.taxtmi.com/article/detailed?id=16336 Zero-rated export of goods under GST may be routed either through export without payment of tax under LUT with refund of accumulated input tax credit, or through export with payment of IGST followed by refund on the IGST route. The note compares these mechanisms and states that, for export without payment of tax, refund of input tax credit is linked to the FOB value in the shipping bill, while export with payment of IGST is described as being based on the invoice value, often aligned with CIF value on the commercial invoice. The discussion also refers to section 15 valuation principles and refund guidance under the CGST Rules, stating that export refund is computed with reference to the lower of FOB value or invoice value declared for export. It raises a practical issue on whether, in the IGST route, the GST invoice should mirror FOB value or continue to reflect the higher commercial invoice value for valuation and reconciliation. en-us Mon, 04 May 2026 07:58:30 +0530 Mon, 04 May 2026 07:58:30 +0530 TaxTMI RSS Generator https://www.taxtmi.com/article/detailed?id=16336 Zero-rated export of goods under GST may be routed either through export without payment of tax under LUT with refund of accumulated input tax credit, or through export with payment of IGST followed by refund on the IGST route. The note compares these mechanisms and states that, for export without payment of tax, refund of input tax credit is linked to the FOB value in the shipping bill, while export with payment of IGST is described as being based on the invoice value, often aligned with CIF value on the commercial invoice. The discussion also refers to section 15 valuation principles and refund guidance under the CGST Rules, stating that export refund is computed with reference to the lower of FOB value or invoice value declared for export. It raises a practical issue on whether, in the IGST route, the GST invoice should mirror FOB value or continue to reflect the higher commercial invoice value for valuation and reconciliation. Articles Goods and Services Tax - GST Mon, 04 May 2026 07:58:30 +0530 https://www.taxtmi.com/article/detailed?id=16336