Claiming of Refund under GST for Custom Duty paid by exporters, Goods and Services Tax - GST

[Jasbir Uppal]

Dear professionals

GST has subsumed all the indirect taxes including service tax, excise and VAT. Only the basic customs duty remains out of its gamut. This sweeping change essentially disturbs the current drawback mechanism.

What is the mechanism to adopted by the Government In GST to refund the basic customs duty to exporters in place of duty draw back, because the export is zero rated in GST.

Regards

J.S.Uppal

Tax Consultant

Posts / Replies

[YAGAY and SUN]

Customs duty would be paid back through AIR DBK or through Brand Rate Fixation. IGST would be paid as refund but if goods were obtained via AA and EPCG then no refund of IGST would be available.