Export Services, Goods and Services Tax - GST

[CA.Mohammed Lakkadsha]

If a Registered GST supplier has issued a Invoice of Export of services on provision of services under LUT (Without payment of Taxes). Subsequently the exporter is not able to recover the Invoice value from the Recipient due to some dispute (deficiency of services) , The credit note is pending to issued till the date of filing of annual return. Whether such supplies can be treated as export sales to be reported under 5A of table two or such supplies will become taxable since one of condition of receipt of Invoice value in Forex has not been fulfilled.

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[KASTURI SETHI]

Q. Whether such supplies can be treated as export sales to be reported under 5A of table two ?

Ans. Yes. Export of service has taken place. Export proceeds can come later. Export of proof can be produced later on. Undoubtedly condition of FIRC has to be fulfilled subsequently.