- Exports are zero-rated under the GST regime, allowing for Input Tax Credit on goods and services supplied outside India
- Zero-rating ensures goods are supplied without VAT or GST, fostering competition and increasing exports
- Countries like the Netherlands, Canada, EU, Australia, China, Singapore, and India have adopted zero-rating for exports
- Benefits of zero-rating include increased competition, investment in SEZs, higher exports, forex generation, and balancing of balance of payments
- IGST Act, 2017 allows for zero-rating of exports and supplies to SEZs, with ITC available on such supplies
Source: metalegal.in
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
