GST LUT (Letter of Undertaking) filing is a process where exporters submit a declaration to the government to export goods or services without paying integrated goods and services tax (IGST). This ensures that the exported items are eligible for a refund of input tax credit. The LUT is a compliance requirement to facilitate zero-rated exports under GST.
GST LUT Filing
GST LUT (Letter of Undertaking) Filing is a service under the Goods and Services Tax (GST) system in India. A Letter of Undertaking (LUT) is a declaration made by an exporter stating that they will fulfill all GST-related compliance requirements and are not seeking a refund of the tax paid on inputs or input services used in the export. It allows exporters to export goods and services without paying Integrated Goods and Services Tax (IGST) on their exports.
To be eligible for GST LUT (Letter of Undertaking) filing in India, a taxpayer must:
- Export Goods or Services: Be engaged in the export of goods or services.
- Compliance Record: Have a clean compliance record with no significant defaults in tax payments or filings.
- Not Avail Drawback: Choose not to claim a refund under the Duty Drawback Scheme.
- Export Goods or Services: Be engaged in the export of goods or services.
- Zero Upfront IGST Payment: Exporters can export goods or services without paying IGST upfront, which simplifies cash flow management.
- Avoids Refund Process: Helps avoid the refund process for input tax credits, reducing administrative burdens.
- Compliance: Ensures compliance with GST regulations by declaring adherence to all GST requirements.
- Streamlined Export Process: Facilitates smoother export transactions by eliminating the need for IGST payments.
- Zero Upfront IGST Payment: Exporters can export goods or services without paying IGST upfront, which simplifies cash flow management.
- Eligibility Check: Ensure that your business is registered under GST and has not been prosecuted for GST-related offenses.
- Preparation of Documents: Gather all necessary documents required for the application.
- Application Submission: Submit the application in Form GST LUT to the GST authority.
- Approval: Once the application is reviewed and approved by the GST authority, the LUT is issued.
- Utilization: Use the approved LUT to carry out zero-rated export transactions.
- Eligibility Check: Ensure that your business is registered under GST and has not been prosecuted for GST-related offenses.
- GST Registration Certificate: Proof of GST registration of the business.
- PAN Card: Permanent Account Number (PAN) of the business.
- Proof of Business Address: Documents such as rent agreement, utility bills, or property tax receipts showing the business address.
- Bank Account Statement: A recent statement of the bank account used for business transactions.
- GST Returns: Copies of recent GST returns (GSTR-1, GSTR-3B) to demonstrate compliance and business activity.
- Export Documents: Details of previous export transactions, including invoices and shipping bills, if applicable.
- Authorization Letter: If the LUT is being filed by an authorized representative, an authorization letter from the business is required.
- Legal Compliance Documents: Any documents proving that the business has not been prosecuted under GST or other tax laws.
- GST Registration Certificate: Proof of GST registration of the business.
- Expertise: Professional guidance ensures a smooth and efficient filing process.
- Time-Saving: We handle all paperwork and interactions with GST authorities, saving your time.
- Compliance Assurance: Ensures that your business meets all GST requirements, helping you avoid potential issues.
- Ongoing Support: Provides assistance with renewals and ensures continued compliance with GST regulations.
- Expertise: Professional guidance ensures a smooth and efficient filing process.
Registered exporters who comply with GST regulations and have not been prosecuted for GST-related offenses are eligible to file a GST LUT.
A GST LUT is typically valid for one financial year and must be renewed annually.
Yes, a GST LUT can be amended or canceled if there are changes in the business's status or if the LUT is no longer required. This process involves notifying the GST authorities and providing relevant documentation
Filing a GST LUT is mandatory for exporters who wish to export goods or services without paying IGST. However, if an exporter opts not to file an LUT, they must pay IGST and claim a refund later.
Legal Disclaimer
The information on this website is provided for general informational purposes only. It does not constitute legal or professional advice. We do not guarantee the accuracy, timeliness, or completeness of the information provided. You should always seek the advice of a professional consultant or attorney regarding your specific situation. Use of this website is at your own risk and subject to our Terms of Use.
SS Auditors understands the importance of client satisfaction and strives to provide high-quality auditing services. However, it is important to note the following refund policy:
Cancellation & Refund Policy
S S AUDITORS AND TAX CONSULTANTS believes in helping its customers as far as possible, and has therefore a liberal cancellation policy. Under this policy:
• Cancellations will be considered only if the request is made immediately after placing the order. However, the cancellation request may not be entertained if the orders have been communicated to the vendors/merchants and they have initiated the process of shipping them.
• S S AUDITORS AND TAX CONSULTANTS does not accept cancellation requests for perishable items like flowers, eatables etc. However, refund/replacement can be made if the customer establishes that the quality of product delivered is not good.
• In case of receipt of damaged or defective items please report the same to our Customer Service team. The request will, however, be entertained once the merchant has checked and determined the same at his own end. This should be reported within only same day days of receipt of the products. In case you feel that the product received is not as shown on the site or as per your expectations, you must bring it to the notice of our customer service within only same day days of receiving the product. The Customer Service Team after looking into your complaint will take an appropriate decision.
• In case of complaints regarding products that come with a warranty from manufacturers, please refer the issue to them. In case of any Refunds approved by the S S AUDITORS AND TAX CONSULTANTS, it’ll take 3-5 Days for the refund to be processed to the end customer.Legal Disclaimer
The explanations and information provided on this page are general and high-level guidelines on how to write your own Shipping Policy. This article should not be relied upon as legal advice or specific recommendations, as we cannot foresee the exact shipping policies you wish to establish between your business and your customers. We recommend seeking legal advice to assist you in understanding and creating your own Shipping Policy.
Shipping Policy - The Basics
A Shipping Policy is a legally binding document that establishes the legal relations between you and your customers. It provides a framework for outlining your obligations and addressing various potential issues that may arise, and what happens in each case.
A Shipping Policy is good practice and benefits both sides—you and your customers. Customers benefit from being informed about what to expect from your service, while you benefit because clear Shipping Policies can attract more customers by eliminating uncertainties about shipping timeframes or processes.