Government Provides Relief To Exporters

In view of the issues faced by exporters, the Government of India has notified supplies which would qualify as deemed exports and the concessional duty rates for the last leg of supply made to exporters when such goods are being exported as such.

The Government has notified following supplies as "deemed export":

• Supply of goods supplied against an Advance Authorisation
• Supply of capital goods supplied against an Export Promotion Capital Goods (EPCG) Authorisation
• Supply of goods to an Export Oriented Unit (EOU)
• Supply of gold by Banks/Public Sector Undertakings (as specified under Notification No. 50/2017 – Cus dated 30 June 2017) against an Advance Authorisation.

The recipient shall be entitled to seek a refund of tax paid against deemed export. Alternatively, the supplier can also seek refund of tax on submission of disclaimer certificate from the recipient about non-availment of refund/input tax credit by the recipient.