Simplified Bond/LUT Filing for Exporters – CBIC Circular No. 2/2/2017-GST
<h3><strong>Key Highlights from CBIC Circular No. 2/2/2017-GST</strong></h3><p>The Central Board of Excise and Customs (CBIC) issued <strong>Circular No. 2/2/2017-GST</strong> on <strong>July 4, 2017</strong>, addressing concerns related to furnishing Bonds or <strong>Letters of Undertaking (LUTs)</strong> for exports without IGST payment. Exporters had been facing delays due to portal-related issues and procedural complexities. This circular simplifies the process and provides interim relief to businesses.</p><h3><strong>1. Bonds/LUTs Required for IGST-Free Exports</strong></h3><ul><li><strong>As per Rule 96A of CGST Rules, 2017</strong>, exporters opting to supply goods/services without paying IGST must furnish a <strong>Bond or LUT before export</strong>.</li><li>These documents must be submitted in <strong>FORM GST RFD-11</strong> via the GST portal.</li><li>However, exporters faced challenges due to delays in the availability of the online system.</li></ul><h3><strong>2. Manual Submission Allowed for Faster Processing</strong></h3><ul><li>Until the online module for <strong>FORM GST RFD-11</strong> is operational, exporters can submit it <strong>manually</strong>.</li><li>The <strong>Deputy/Assistant Commissioner</strong> (instead of the Commissioner) will now handle the acceptance of Bonds/LUTs, <strong>reducing procedural delays</strong>.</li><li>Exporters can download the form from <a href="http://www.cbec.gov.in" rel="noopener"><strong>www.cbec.gov.in</strong></a> and submit it to their <strong>jurisdictional officer</strong>.</li></ul><h3><strong>3. Applicability & Implementation</strong></h3><ul><li>These changes apply to all applications filed <strong>on or after July 1, 2017</strong>.</li><li>The circular directs tax authorities to issue <strong>trade notices</strong> for wider awareness.</li><li>Any difficulties in implementation should be reported to the Board for resolution.</li><li><a href="https://cms.plasament.com/storage/chirag-singla/chirag-singla/circularno-2-gst-1.pdf">circularno-2-gst-1</a><br> </li></ul>