Dear Members,
You are aware, GST will be rolled out from 1st July, 2017.
As a service to the members, the council has been disseminating circulars/ mailers having information as and when released on CBEC/ GST/ ICEGATE portals so that members can migrate to GST timely and also get familiar with new Rules, Formats, Rates, Returns etc which are published for usage under GST regime. We hope that you have already done the necessary preparations to meet the requirements of GST Regime.
However, we would like to highlight following points which you need to keep in mind:
Please ensure that you have registered with GSTN and have obtained the 15 digit GSTIN which is mandatory for every exporter/importer irrespective of the threshold limit of exports. In case, you have not yet obtained GSTIN, please do so immediately as the window is open again since 25th June 2017 and shall remain so till 30/09/2017.
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Mandatory Declaration of GSTIN in S/B & B/E
Declaration of valid GSTIN in Customs documents (BE/SB) would be mandatory to avail IGST credit on Imports or GST refund on exports. As per advisory of CBEC, for the time being exporters/importers may mentioned GSTIN, PAN & IEC for their export/ import shipments.
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Treatment of Exports under GST (Zero Rated Supply)
As per the provisions of IGST law (Section 16), export of goods and/or services are to be treated as “zero rated supplies” and a registered taxable person exporting goods or services shall be eligible to claim refund under one of the following two options u/s 16(iii):
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Export under bond or letter of undertaking without payment of Integrated Tax and claim refund of unutilized input tax credit.
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Export on payment of Integrated Tax and claim refund of the tax so paid on goods and services exported. The aforesaid refunds will be subject to rules, safeguards and procedures as may be prescribed.
The application for refund for zero rated supplies can be filed after the export manifest or an export report or Relevant date based on mode of transportation (as per refund rules).
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Important Documents (Invoice and Shipping Bills)
Invoice & shipping bills (the two important documents) should be filed as prescribed by the authorities.
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New Shipping Bills: The new format of Shipping Bill has been issued by CBEC and mailed by us to the members. The same is also available on our website as well as ICEGATE/ CBEC portals.
https://www.icegate.gov.in/Download/ICES_1.5_CHA_Customs_Exports_Mesg_Format_Ver_2.0_27June2017.pdf
There is no specific format of invoice prescribed for exports. However, as per attached invoice rules it is important that certain information is provided in the invoice so as to get refund of tax paid on goods or unutilized input tax credit. Please ensure that the following information are available in the invoice:-
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name, address and GSTIN of the exporter;
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a consecutive serial number, in one or multiple series, containing alphabets or numerals or special characters hyphen or dash and slash symbolised as “-” and “/” respectively, and any combination thereof, unique for a financial year;
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date of its issue;
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HSN code of goods or Accounting Code of services; description of goods or services;
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quantity in case of goods and unit or Unique Quantity Code thereof;
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total value of supply of goods or services or both;
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rate of tax (integrated tax);
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amount of tax charged in respect of taxable goods or services (integrated tax);
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place of supply along with the name of State;
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signature or digital signature of the supplier or his authorized representative;
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The invoice shall carry an endorsement “SUPPLY MEANT FOR EXPORT ON PAYMENT OF IGST” or “SUPPLY MEANT FOR EXPORT UNDER BOND OR LETTER OF UNDERTAKING WITHOUT PAYMENT OF IGST”, as the case may be, and shall contain the following details:
i. name and address of the recipient;
ii. address of delivery;
iii. name of the country of destination; and
iv. number and date of application for removal of goods for export
Please refer to FAQ’s issued by DGFT related to the schemes under FTP 2015-20 which are available on http://dgftcom.nic.in/exim/2000/DGFT-GST-FAQ.pdf . For further queries on FTP related schemes you may also contact your DGFT RA or write to gstcell-dgft@gov.in
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Important Resources on GST:
CBEC has issued various fliers/ advisories on GST for the benefit of trade which we have been informing you. For further info, please click- http://www.cbec.gov.in/htdocs-cbec/gst/index
For any issues faced in new formats or other GST IT related matters etc, please contact following under CC to the Council:
Members are requested to take note of all above and do the needful for exports/ imports under GST regime w.e.f 1st July 2017. In case of any persistent issues / difficulty or our assistance, you can write to us on ed@chemexcil.gov.in & Deepak.gupta@chemexcil.gov.in
Thanking You,
Yours faithfully,
(S.G. BHARADI)
Executive Director
CHEMEXCIL
Encl : Invoice-GST-rulest
DGFT-GST-FAQ
