GST LUT Letter of Undertaking

It is prescribed to be furnished in the form GST RFD 11 under rule 96 A, whereby the exporter declares that he or she will fulfill all the requirement that is prescribed under GST while exporting without making IGST payment.

What is a Letter of Undertaking under GST?

Under GST, there are two options being provided to exporters of goods or services or both for effecting such supplies :

  • Submit an LUT or Bond (as applicable) to Commissioner of GST. In this case, there is no need to pay tax on exports and assessee can claim refund of GST paid on its inward supplies.

  • Pay IGST on exports and then after claim refund for the same.

Lettet of Undertaking (LUT):

All registered taxpayers who export the goods or services will now have to furnish Letter of Undertaking (LUT) in GST RFD-11 form on the common portal of GSTN in order to make exports without payment of IGST. Letter of the undertaking has to be filed /submitted online before exporting the goods/services.

 

Hence, If you are engaged in Import Export business, then it would always be a great option to file an LUT for getting exemption from paying GST.

Benefits of filing LUT:

  • Once you submit the LUT, it is valid for one whole year.

  • There would be no additional compliance.

  • IGST will not have to be paid on exports for a year.

Price and Plan

Price may varies for different states in India
ESSENTIAL
₹ 1499/-
(All Inclusive)
  • Filing of One Letter of Undertaking with GST authorities

Documents required for filing of LUT for export under GST

Quick Checklist

  • Request letter for acceptance of RFD 11. The request letter should be on letter head and signed by the proprietor/director/partner of any authorised person

  • Self-declaration that the conditions of the Letter of Undertaking shall be accepted unless there is specific permission granted.

  • A self-declaration by the exporter to the effect that he has not been prosecuted Copy of GST registration certificate

  • Copy of IEC code (not applicable in case of services)

  • Copies of VAT return for all quarters or GSTR 3 of all three months. In case of services, service tax return would do

  • Export bill/invoice

  • PAN and ID of the signatory and off witnesses duly signed.

  • Letter of authorization.

How to Furnish GST Letter of Undertaking?

  1. Fill a Checklist

  2. Submit Documents

  3. Verification of Documents

  4. LUT Submission

  5. Acknowledgement Generated