TaxTMI 
TaxTMI 
Addendum to Trade Circular No. 07/2017 dated 19/07/2017 regarding Export
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....oms), Ministry of Finance, Government of India; (e) Circular No.4/4/2017-GST of Commissioner of GST (Central Board of Excise & Customs) (f) Circular No.5/5/2017-GST of Commissioner of GST (Central Board of Excise & Customs) (g) Trade Circular No. 07/2017 dated 19/07/2017 issued by the Commissioner of State Tax, West Bengal are relevant in this regard. 1. Reference may be drawn to the Trade Circular No. 07/2017 dated 19th July, 2017 issued by the Commissioner of State tax, West Bengal. A large number of communications have been received from the exporters and various stakeholders citing variation in the interpretation of above referred notification and circulars. 2. Therefore, in exercise of powers conferred under section 168 ....
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....be eligible for LUT facility if remittance received against this export is Rs. 1.0 crore or more (10% of export turnover is less than Rs. 1 crore) iii. An exporter has an export turnover of Rs. 2 crore. He has received Rs. 80 lakh as foreign inward remittances in FY 2016-17 which is 40% of the export turnover. He will not be eligible for LUT facility as remittance received is less than Rs. 1 crore. iv. An exporter has export turnover of Rs. 40 crore. He has received Rs. 2 crore as foreign inward remittances in FY 2016-17 which is 5% of the export turnover. He will not be eligible for LUT facility as remittance received is less than 10% of export turnover, even though it is in excess of Rs. 1 crore. v. An exporter ....
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....rts, including supplies to SEZ, is allowed only with respect to supply by the actual exporter under LUT/bond or payment of IGST. e. Transactions with EOUs: Zero rating is not applicable to supplies to EOUs and there is no special dispensation for them. Therefore, supplies to EOUs are taxable under GST just like any other taxable supplies. The EOUs, to the extent of exports, are eligible for zero rating like any other exporter. f. Forward inward remittance in Indian Rupee: Various representations have been received with respect to receipts of proceeds of supplies in Indian Rupee especially with respect to exports to Nepal, Bhutan and SEZ developer/SEZ unit. Attention is invited to Para A (v) Part-I of RBI Master Circular no. 14/2015-16....
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.... Commissioner of State Tax, West Bengal provides that bank guarantee should normally not exceed 15% of the bond amount. However, the Commissioner may waive off the requirement to furnish bank guarantee taking into account the facts and circumstances of each case. It is expected that this provision would be implemented liberally. Some of the instances of liberal interpretation are as follows: i. an exporter registered with recognised Export Promotion Council can be allowed to submit bond without bank guarantee on submission of a self-attested copy of the proof of registration with a recognized Export Promotion Council; ii. In the GST regime, registration is State-wise which means that the expression 'registered person' used....
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....self-declaration by the exporter to the effect that he has not been prosecuted should suffice for the purposes of Trade Circular No. 07/2017 dated 19th July, 2017 issued by the Commissioner of State Tax, West Bengal. Verification, if any, may be done on post facto basis. Similarly, Status holder exporters have been given the facility of LUT under the said notification and a self-attested copy of the proof of Status should be sufficient. j. Applicability of circulars on Bond/LUTs: It is learnt that some field officers have inferred that the instructions given by the said circulars are effective in respect of exports made only from the date of its issue despite the fact that it has been categorically clarified specifically in the said Trad....