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TMI BlogClarification in respect of goods sent/taken out of India for exhibition or on consignment basis for export promotionX X X X Extracts X X X X X X X X Extracts X X X X ..... ndia crystallise into exports, wholly or partly, only after a gap of certain period from the date they were physically sent / taken out of India. 2. The matter has been examined and in view of the difficulties being faced by the trade and industry and to ensure uniformity in the implementation of the provisions of the law across the field formations, the Commissioner, in exercise of its powers conferred under section 168(1) of the West Bengal Goods and Services Tax Act, 2017 (hereinafter referred to as the "WBGST Act") hereby clarifies various issues in succeeding paragraphs. 3. As per section 7 of the WBGST Act, for any activity or transaction to be considered a supply, it must satisfy twin tests namely- (i) it should be for a consider ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... time. Since such activity is not a supply, the same cannot be considered as 'Zero rated supply' as per the provisions contained in section 16 of the IGST Act. 7. Since the activity of sending / taking specified goods out of India is not a supply, doubts have been raised by the trade and industry on issues relating to maintenance of records, issuance of delivery challan / tax invoice etc. These issues have been examined and the clarification on each of these points is as under: - Sl.No. Issue Clarification 1. Whether any records are required to be maintained by registered person for sending / taking specified goods out of India? The registered person dealing in specified goods shall maintain a record of such goods as per the forma ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 1 of the WBGST Act. b) The supply would be deemed to have taken place, on the expiry of six months from the date of removal, if the specified goods are neither sold abroad nor brought back within the said period. c) If the specified goods are sold abroad, fully or partially, within the specified period of six months, the supply is effected, in respect of quantity so sold, on the date of such sale. 4. Whether invoice is required to be issued when the specified goods sent / taken out of India are not brought back, either fully or partially, within the stipulated period? a) When the specified goods sent / taken out of India have been sold fully or partially, within the stipulated period of six months, as laid down in sub-section (7) of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ale, in respect of such quantity of specified goods which have been sold abroad within the specified period of six months. c) It is clarified accordingly that the sender can prefer refund claim even when the specified goods were sent / taken out of India without execution of a bond or LUT, if he is otherwise eligible for refund as per the provisions contained in sub-section (3) of section 54 the WBGST Act read with sub-rule (4) of rule 89 of the WBGST Rules, in respect of zero rated supply of goods after he has issued the tax invoice on the dates as has been clarified in answer to the question no. 4 above. It is further clarified that refund claim cannot be preferred under rule 96 of WBGST Rules as supply is taking place at a time after th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... If 10 units of specified goods are sold abroad say after one month of sending / taking out and another 50 units are sold say after two months of sending / taking out, a tax invoice would be required to be issued for 10 units and 50 units, as the case may be, at the time of each of such sale in accordance with the provisions contained in section 12 and section 31 of the WBGST Act read with rule 46 of the WBGST Rules. If the remaining 40 units are not brought back within the stipulated period of six months from the date of removal, a tax invoice would be required to be issued for 40 units in accordance with the provisions contained in section 12 and section 31 of the WBGST Act read with rule 46 of the WBGST Rules. Further, M/s ABC may claim ..... X X X X Extracts X X X X X X X X Extracts X X X X
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