According to the latest circular issued by the government, IEC is not mandatory for all traders who are registered under GST. In all such cases, the PAN of the trader shall be construed as a new IEC code for the purpose of import and export.
Import Export Code (IEC) isn’t required to be taken in case the goods exported or imported is for personal purposes and isn’t used for any commercial purpose.
Is GST mandatory for import?
From 1st of July, 2017, GSTIN is mandatory for filing Bill of Entry as IGST (Integrated Goods and Services ) is to be paid on imports and input tax credit can be availed for IGST paid. In addition to GSTIN, the requirement for PAN of the importer and IE Code for the importer would continue. GST (Goods and Services) will be applicable to all imported goods along with custom duties as applicable
Do exporters have to pay GST?
No tax will be payable on export of goods or services as per the GST law. … Basic Customs Duty (BCD) will be levied on the import of goods in addition to IGST. With regard to import of services, the service receiver will be liable to pay tax on the service if such services are provided by a person residing outside India.
Export under GST is treated as inter-state supply and under GST law, any person engaged in the inter-state taxable supply of goods or services or both is required to obtain compulsory registration with the exception in case of the service provider if taxable turnover during the year exceeds Rs. 40 lakhs.
Is GST applicable on software export?
The rate of GST on IT services is 18%. … Answer: Exports and supplies to SEZ units and SEZ developers are zero-rated in GST. Zero-rating effectively means that no tax is payable on exports but the exporter/supplier is entitled to the input tax credit on inputs/input services used in relation to exports.
Is GST applicable on imported goods?
All imports into India will be deemed as inter-state attracting IGST. In addition to the IGST, the import would also be subject to Customs Duties. Thus, when goods are imported into India, IGST would be applied on the value of the goods and collected along with Customs Duty.
Can we claim ITC on imports?
The importer can claim the credit of the IGST and Compensation Cess paid at the time of imports. … Further, as per IGST act, the place of supply of imported goods is taken as the location of the importer.
Is GST applicable for international services?
International Services. You can zero-rate your supply of services (i.e. charge GST at 0%) only if it falls within the description of international services under Section 21(3) of the GST Act . It is important to note that not all services provided to overseas customers can be zero-rated.