Merchant Exporter means a person engaged in trading activity for exporting of goods. Merchant Exporter procures goods from the manufacture and export same in his firm name. Merchant Exporters buy goods from the Indian manufacturers and sell them into international market. They may not have their own manufacturing unit or processing facility.
With recent changes of indirect tax GST introductions , the Council noticed the major difficulties for the export sector are on account of delays in refunds of IGST and input taxes on exports. Due to delay of taxes which ideally resulting into blockage of working capital to export business
To prevent cash blockage of exporters due to upfront payment of GST on inputs etc. the Council approved new scheme. Merchant exporters will now have to pay nominal GST of 0.1% for procuring goods from domestic suppliers for export. Merchant exporter can buy goods at 0.1% for export of goods. In article we talk about GST On Supplies to Merchant Exporter.
Exporter need to submit online acknowledgement with other supporting documents at GST department / customs. Refund of 90% value shall be transferred immediately and balance 10 % will be paid after verification of documents of document. Interest at 6 % shall be payable for delayed GST Refund.
GST Refund for Export on payment of duty for exporter of goods ?Exporter not required to submit documents at department. Shipping bill is a documents for taking refund amount. Customs shall verify the information with GSTR3 B filed by person. After verification customs shall refund to persons bank statement.
No. the goods sent by an exporter to a job worker is not a supply, as there is no transfer of title and no consideration for the goods is involved. In terms of section 143 of the CGST Act, 2017 a registered taxable person (the principal) may send any inputs or capital goods, without payment of GST, to a job worker for job work.