Foreign tourist will soon feel relief from GST as they will be able to claim GST refund before leaving an airport.
Department of Revenue is working on the system to refund the tax paid by foreign tourists on local purchases. An official said that in the starting, they will receive refunds only for purchases they made from big sellers when they will be leaving India.
In some countries, the foreign tourists get the refund for VAT and GST paid in cash purchases go more than the predefined limit. The official further said that the department is working on such system which will return the GST to the foreign tourists back. For this, it is required that regional offices work in collaboration with susceptive attitude.
He even mentioned, it is necessary to ensure that fake challan will not be part of the process of claiming refunds. Refund system can be initiated on the basis of the challan issued by the retailers in the starting phase. Under GST, it is prescribed in GST provisions to refund GST to foreign tourists but there is no initiation on the process yet.
