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SEZ invoices

Bahubali (Accountant) (76 Points)

16 January 2023

we will raise invoice for SEZ without tax and we will collect SEZ certificate. Is it necessary to get acknowledgement when we deliver the materials which will usually be delivered through courier?? If it is necessary , please suggest how it can be done.

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2 Replies

sabyasachi mukherjee (27248 Points)
Replied 17 January 2023

Yes certainly.

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Pankaj Rawat (GST Practitioner) (55047 Points)
Replied 17 January 2023

No....
As per Section Section 16 of IGST Act, Supply to Sez is Zero Rated Sale (Export sale).
So you have 2 option :
1. Supply with PAYMENT Of TAX :
Charge IGST on Tax Invoice and Claim refund for the same
2 WITHOUT PAYMENT OF TAX:
File LUT under Rule 96A in form RFD 11 online on portal & can supply without payment of tax (IGST)

Note : As per Notification 15/2017 IGST rate
goods or Services supplied to Special Economic Zone, is exempted from the whole of the integrated tax
leviable thereon under sub-section (7) of section 3 of the Customs Tariff Act.
Even if Charge IGST to Sez Unot they will not pay you TAX (IGST) amount you need to claim refund for the same , as mentioned above.