Circular No.: 14/14/2017-GST
Date of Circular: 6th November 2017
Relevant Sections and Rules:
- Central GST Act, 2017:
- Section 147: Deemed exports
- CGST Rules, 2017:
- Rule 89: Refund of tax for deemed exports
- Relevant Notifications:
- Notification No. 48/2017-Central Tax dated 18.10.2017 (deemed export status for supplies to EOUs)
- Notification No. 47/2017-Central Tax dated 18.10.2017 (amendment to Rule 89)
Summary of Circular:
This circular prescribes the procedure and safeguards for procurement of goods by EOUs, EHTPs, STPs, and BTPs from Domestic Tariff Area (DTA) units under the deemed export benefit scheme.
- Recognition of Deemed Export Supplies:
Based on the 22nd GST Council meeting, supplies made by a registered person to EOUs, EHTPs, STPs, and BTPs are notified as deemed exports.- Refund of tax paid on such supplies can be claimed by either the supplier or the recipient, as amended in Rule 89 of CGST Rules.
- Prescribed Procedure for Deemed Export Supplies:
- Prior Intimation (Form-A):
Recipient units must submit a pre-approved procurement plan to:- The supplier,
- The supplier’s jurisdictional GST officer, and
- Their own GST officer.
- Tax Invoice and Endorsement:
The supplier issues a tax invoice. Upon receiving goods, the EOU/EHTP/STP/BTP must endorse the invoice and forward copies to the same three parties. - Proof of Deemed Export:
The endorsed invoice serves as valid documentation. - Maintenance of Digital Records (Form-B):
Recipient units must digitally maintain details of goods received, used, removed, or returned. This record must:- Be audit-trail enabled,
- Be updated promptly,
- Be submitted monthly in CD or pen drive to their jurisdictional officer by the 10th.
- Prior Intimation (Form-A):
- Additional Compliance:
This SOP is in addition to existing requirements under the Foreign Trade Policy (FTP) 2015–20 and applicable duty exemption notifications.
Source: Circular No.: 14/14/2017-GST
