CBEC Clarifications on Furnishing of Bond/ Letter of Undertaking for Exports (Part-2)

CBEC Clarifications on Furnishing of Bond/ Letter of Undertaking (LUT) for Exports (Part-2)

CBEC has further Clarified about procedural issues for online Furnishing of Bond/ Letter of Undertaking (LUT) in Form GST RFD-11 for Exports. The LUT will be deemed to be accepted as soon as ARN is generated. It may be considered as a big relief for exporters, as no document is required to be physically submitted to the jurisdictional office henceforth.

Clarifications on Furnishing of Bond/ LUT for Exports (Part-2): CBIC (CBEC) Circular No. 40/14/2018 dt. 6 April, 2018

1. Various communications have been received from the field formations and exporters that the LUTs being submitted online in FORM GST RFD-11 on the common portal are not visible to the jurisdictional officers of Central Board of Indirect Taxes and Customs and of a few States. Therefore, a need was felt for a clarification regarding the acceptance of LUTs being submitted online in FORM GST RFD-11.

2. Accordingly, in partial modification of Circular No. 8/8/2017-GST dated 4th October, 2017, sub-paras (c), (d) and (e) of para 2 of the said Circular are hereby replaced by the following:

“c) Form for LUT: The registered person (exporters) shall fill and submit FORM GST RFD-11 on the common portal. An LUT shall be deemed to be accepted as soon as an acknowledgement for the same, bearing the Application Reference Number (ARN), is generated online.

d) Documents for LUT: No document needs to be physically submitted to the jurisdictional office for acceptance of LUT.

e) Acceptance of LUT/ Bond: An LUT shall be deemed to have been accepted as soon as an acknowledgement for the same, bearing the Application Reference Number (ARN), is generated online. If it is discovered that an exporter whose LUT has been so accepted, was ineligible to furnish an LUT in place of bond as per Notification No. 37/2017-Central Tax, then the exporter’s LUT will be liable for rejection. In case of rejection, the LUT shall be deemed to have been rejected ab initio.”

Related Posts:

CBEC Clarifications (Part-1) on Furnishing of Bond/ Letter of Undertaking for Exports

Taxpayers can Furnish LUT in lieu of Bond/ BG under IGST for Exports/ SEZ Supplies

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