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Advance authorisation licence for exporters: HC notice to govt, GST council

An advance authorisation licence is issued to allow duty-free import of inputs, which are physically incorporated in export products

Indivjal Dhasmana  |  New Delhi 

GST, IGST, CGST

The Punjab and Haryana High Court has issued notices to the finance ministry, the commerce ministry and the (GST) Council for restricting the benefits of advance authorisation licence for exporters under the regime.

An advance authorisation licence is issued to allow of inputs, which are physically incorporated in products.

The Central Bureau of Indirect Taxes and Customs and the commerce ministry had inserted a clause of “pre-import” for exempting imports done on advance authorisation licences from integrated

The change in condition has led to (DRI) issuing notices to exporters.

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A similar petition is pending in Gujarat HC. Abhishek Rastogi, counsel, petitioners and partner at Khaitan & Co, said those outside Gujarat are still getting these notices and so the Punjab and Haryana HC was approached. “The pre-condition has been a subject of debate even after the stay by the Gujarat HC against notices,” he said.

First Published: Wed, November 28 2018. 05:30 IST
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