LUT certificate is mandatory for licences, Other Topics

[raj seeds]

hi,

we are planing to buy some online licenses from vendor when we ask vendor for LUT certificate availability he says below ..

GST department we come to know that LUT is not mandatory in our transaction because we supply software having SAC code 997331 and LUT is applicable where physical goods supply in SEZ zone.

can some body help me on this.

Posts / Replies

[KASTURI SETHI]

LUT is mandatory for both types of exports. Both are at par regarding execution of LUT. The purpose of LUT or Bond is to safeguard revenue. How can revenue be safeguarded without LUT or Bond ? Only one option is left that is pay tax and claim refund. Go through C.B.I. & C. Circular No. 88/07/2019-GST, dated 1-2-2019 thoroughly.

[raj seeds]

Dear sir,

so even for non physical goods supplier should have LUT

[KASTURI SETHI]

Pl. refer to your query at serial no. 2 above, answer is yes.