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Under GST Law, the export of goods or services is considered as zero-rated supply, and thus GST is not levied. An exporter has two options:

  1. Export under LUT/bond without payment of tax.
  2. Export by paying tax and claim a refund of it later.

Applicability of e-Invoicing on SEZ, Deemed Exports & Exports

Exports are classified into direct exports, deemed exports, exports from SEZ units or SEZ developers. E-invoicing is applicable to export transactions to automate the refund mechanism to exporters under the following cases:

  1. Refund of the unutilised input tax credit on exports made without payment of tax.
  2. Refund on exports services provided with payment of tax.
  3. Refund of unutilised ITC with regards to sales made to SEZ Unit/SEZ Developer without payment of tax
  4. Refund of tax payment on supplies made to SEZ Unit/SEZ Developer.
  5. Refund to the supplier/recipient of taxes paid on account of deemed export supplies. Some of the examples of deemed exports are supplies made to export-oriented units, United Nations, mega power projects/nuclear projects through competitive bidding.

Note: As per notification no. 61/2020 SEZ, units are exempted from issuing e-invoice. No exemption is available for SEZ developers.

Workflow Changes due to e-Invoicing in raising Export Invoices

With the introduction of e-invoicing, all B2B invoices are verified electronically by the GSTN for use on the GST portal. A unique identification number is issued against each invoice by the Invoice Registration Portal (IRP).

Exporters can continue furnishing information for availing incentives. The details include duty drawback serial number, advance/EPCG authorisation, and MEIS declaration details in invoice output. Thus, registration on the IRN portal will not have any impact on the exports invoices.

Also, in the e-invoice schema as notified by CBIC vide notification no. 60/2020 dated 30th July 2020, there are some additional fields for exports for which data can be taken from the bill of entry in ICEGATE such as additional currency code, place of supply, country code of export, port code, shipping bill number, date, export duty amount, etc.

Below is the list of exclusive fields to be reported by exporters in the e-invoice:

 

Name of the field

Description

Whether mandatory/optional?

Supply type code

He has to select the code of supply:

  • Supply to SEZ with payment 
  • Supply to SEZ without payment 
  • Export with payment 
  • Export without payment 
  • Deemed Export

Mandatory 

Additional Currency Code

Report additional currency, if any, in which all invoice amounts can be given, along with INR. 

Optional

Supplier State Code 

State Code of the Supplier as per GST System. The list is updated at https://www.icegate.gov.i n/Webappl/STATE_EN Q

Mandatory 

Recipient_ GSTIN 

URP: In case of exports or if supplies are made to unregistered persons

Mandatory 

Place of Supply (State Code)

The list is updated at https://www.icegate.gov.i n/Webappl/STATE_EN Q

Mandatory 

Recipient State Code 

State Code of the recipient.

The list is updated at https://www.icegate.gov.i n/Webappl/STATE_EN Q

Mandatory 

Country Code of Export

Code of the country of export as per the list

https://www.icegate.gov.i n/Webappl/COUNTRY_ ENQ 

Optional

Port Code

For export supply, code can be mentioned as per the Indian Customs EDI system. 

Optional

Shipping Bill Number

For export supply, shipping bill number can be mentioned as per the Indian Customs EDI system. 

Optional

Shipping Bill Date

For export supply, shipping bill date can be mentioned as per the Indian Customs EDI system. 

Optional

Export Duty Amount

Amount of export duty in INR should be mentioned.

Optional

Supplier Can Opt Refund

This field is for mentioning whether the supplier can exercise the option of claiming a refund.

Optional

Important Note for e-Invoicing Registration as an Exporter

At the time of registration on the IRP as an exporter, one needs to select the type of exporters such as regular export, deemed export, supplies from SEZ unit or SEZ developer. Exporters can use the existing invoice format for e-invoicing along with additionally capturing the QR code.

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