The Good and Simple Tax 🙂 implemented in India with effect from 1st July – 2017 and this revolutionary regulation also made the significant changes in the business process. There are various pros and cons of the system which is implemented and at an initial level, several problems are being faced resulting into lesser business. Exporters also faced the several problems due to blockage of working capital, Slow refund process, Export with payment of duty etc. Export can be without payment if duty by submitting LUT or Bond in GST.
So in order to incentivize the exporters’ govt. released the circular no. – 5/5/2017 dated 11th August – 2017 which was aimed to relax the GST provisions for exports. Provisions of LUT and Bond were also extended to small exporters. So let’s understand what is LUT and Bond which is required for export of goods or services without payment of duty. Continue reading “How to Export with LUT or Bond in GST”