Duty Drawback- Urgent, Other Topics

[Aarushi Raturi]

Dear Sir,

We are UP based company, earlier exporting apparels without vat and claiming duty drawback , post gst implementation we are going to export first time by the end of month September 2017 .

My queries are

1 . We will be exporting graments with zero rated tax , have taken bond for the same purpose , can we claim duty drawback ? if yes will the rate of drawback remain same as earlier ?

2. Can we take input credit of GST paid on purchase of those garments ?

Kindly revert ASAP.

Regards

Aarushi

Posts / Replies

[KASTURI SETHI]

EIther drawback or ITC can be claimed. Both cannot be claimed, your supply of goods being zero rated.

[Kishan Barai]

There are 2 Drawback Rates higher and lower. Lower i.e (after availment of Cenvat Credit ) could be still claimed as per judgement passed by FIEO even after availment of ITC via Bond + BG on Exports.

[Ramaswamy S]

Please refer to Drawback rules, 2017 issued last week. Both ITC and drawback cannot be claimed. DBK is allowed only if the products have imported contents.

[Kishan Barai]

Respected Sir,

Recently we did shipment of Candy Making Machine to Lusaka Africa, in that we got both ITC as well as DBK lower rate. Both ITC & DBK higher rate can't be claimed but lower is allowed if filed at the time of Shipping Bill , we got this information from FIEO & its still in process.

Thank You

[Ramaswamy S]

There is no upper limit and lower limit under the new drawback rates wef 01.10.2017. Please check in cbec website about the new rates