A GST export invoice, which is similar to a tax invoice and records the things being exported as well as the importer’s balance owing, is provided by a supplier of goods or services. When claiming insurance or as evidence of a transaction between the exporter and importer, the export invoice under GST becomes crucial.
In addition to being a crucial element of the shipping paperwork, the export invoice helps the government in determining the correct value of the exported goods and the applicable taxes. Here are the essential details to help you create an export invoice:
Details Required for GST Export Invoice
Generally, an export invoice provides details of the exporter and the importer, invoice details such as invoice number, date of issuance, due date, export type, shipping bill details, total invoice value, exporter’s GSTIN, etc. Besides that, packing and shipping information such as destination port, container number, vessel number, goods’ details (such as their HSN code, rate, quantity, units, and amount), shipping mark, container seal number, etc. are also included in the invoice.
Steps To Build GST Export Invoice
Making an export invoice is a simple process, anyone can create it easily for exported goods from the software currently used in the market. You just have to fill in the details required (which are already mentioned above in this article). It may include invoice number, due date, issuance date, destination port, shipping address, etc., and save the document. Printout can also be generated after the export invoice is created.
Type of Export to Select in the GST Invoice Form?
Firstly, before choosing what type of export it is in the invoice form, know whether it is a deemed export first, in which case your supplies are transported to export-oriented units (EOUs), from when they are ultimately shipped to their destination. Second, choose the LUT or bond type to export without IGST if you have a letter of undertaking (LUT) from the government, and then submit a claim for a refund of the input tax credit you paid for the inputs used to export the goods.
Additionally, choose this under the export type if you are paying IGST to export products. If this is the case, you are eligible to request a GST refund of the IGST you paid, provided that you provide accurate and complete information in both the GSTN and Customs systems.
Define SEZ Export
When products are delivered to a Special Economic Zone (SEZ), they are treated as a zero-rated supply, according to a special provision under the heading of exports called SEZ with IGST. Consequently, it is not essential to pay the IGST on the export.
When to Raise a GST Export Invoice?
The invoice must be raised at the time the products are removed for delivery or earlier in the case of exporting goods. When exporting services, the invoice may be generated either before or after the services are offered.