Issue of non-availment of input tax credit of CGST/IGST to the Exported goods by the field formations - GST - TRADE NOTICE NO.- 01/2017

आयुक्त का कार्यालय केन्द्रीय उत्पाद शुल्क सीमा शुल्क एंव सेवाकर ११३ / ४ संजय प्लेस , आगरा C. No. V(30)04/Tech/Misc./HQ/2017/3391(SL) DATED: 12.7.2017 TRADE NOTICE NO.- 01/2017 Subject: - Issue of non-availment of input tax credit of CGST/IGST to the Exported goods by the field formations. Attention of the trade is invited towards the Circular No. 02/02/2017-GST dated 04.07.2017 and Circular No. 04/04/2017-GST dated 07.07.2017 though which procedure has been prescribed to facilitate exports in the GST regime, 02. During the transition period, all field formation to ensure smooth transition to the GST regime, Government has allowed the extent duty drawback scheme to continue for a period of three months i.e. from 01.07.2017 to 30.09.2017. Vide Notification No-26/2017-Customs dated 01.07.2017 the procedure for export under GST regime has been prescribed. 03. A transition period of three months is also being provided from date of implementation of GST i.e. 1.7.2017. During this period, existing duty drawback scheme under Section 75 shall continue. For exports during this period, exporters can claim higher rate or duty drawback (composite AIR) subject to conditions that no input tax credit of CGST/IGST is claimed, no refund of IGST paid on export goods is claimed and no CENVAT credit is carried forward. A declaration from exporter and certificate from jurisdictional GST officer in this regard has been prescribed in the notification related to AIRs. This will prevent double availement of neutralisation of input taxes. Similarly, the exporter can claim brand rate for Customs, Central Excise duties and Service Tax during this period. 04. The expression when Cenvat facility has not been availed , used in the Notification No. 131/2016-Cus(NT) dated 31.10.2016, as amended, shall mean that the exporter shall satisfy the following conditions, namely:- (a) the exporter shall declare, and if necessary, establish to the satisfaction of the Assistant Commissioner of Customs or Assistant Commissioner of Central Excise or Deputy Commissioner of Customs or Deputy C01nmissioner of Central Excise, as the case may be. that no Cenvat facility has been availed for any of the inputs or input services used in the manufacture of the export product; (b) if the goods are exported under bond or claim for rebate of duty of Central Excise, a certificate from the Superintendent of Customs or Superintendent of Central Excise in- charge of the factory of production, to the effect that no Cenvat facility has been availed for any of the inputs or input services used in the manufacture of the export product, is produced: Provided that the certificate regarding non-availment of Cenvat facility shall not be required in the case of exports of handloom products or handicrafts (including handicrafts of brass art-ware) or finished leather and other export products which are unconditionally exempt from the duty of Central Excise. 05. To facilitate issuance of certificate credit facility has not been availed and to maintain harmony of such certificate within the jurisdiction Commissionerate, it is prescribed that all the concerned authorities should issue such certificate on the same day of receipt of request on the proforma as annexed to this notice, 06. All the Trade Association/Chamber of commerce and the member or RAC are requested to bring this to their members/Constituents, (R.C. Sankhla) Commissioner,