Circular No.ES/8/2018-19 April 7, 2018
To: Members of the Council
Sub: Clarification on issues related to furnishing of Bond/Letter of Undertaking for exports
We would like to inform you that Central Board of Indirect Taxes and Customs (CBIC) has issued Circular No. 40/14/2018- GST dated 06th April, 2018 clarifying the issue pertaining to online filing of Letter of Undertaking (‘LUT’) in FORM RFD – 11 on the common portal.
As you may be aware, LUT is being submitted online in FORM GST RFD-11 on the common portal and is not visible to the jurisdictional officers of CBIC and of a few States. Hence, a need was felt for a clarification regarding the acceptance of LUTs being submitted online in FORM GST RFD-11.
In this regard, sub-paras (c ), (d) and (e) of para 2 of the Circular No. 8/8/2017-GST dated 4th October, 2017 regarding Clarification on issues related to furnishing of Bond/Letter of Undertaking for export are hereby replaced by the following;
“c) Form for LUT:
The registered person (exporters) shall fill and submit FORM GST RFD-11 on the common portal. An LUT shall be deemed to be accepted as soon as an acknowledgement for the same, bearing the Application Reference Number (ARN), is generated online.
d) Documents for LUT:
No document needs to be physically submitted to the jurisdictional office for acceptance of LUT.
e) Acceptance of LUT/bond:
An LUT shall be deemed to have been accepted as soon as an acknowledgement for the same, bearing the Application Reference Number (ARN), is generated online. If it is discovered that an exporter whose LUT has been so accepted, was ineligible to furnish an LUT in place of bond as per Notification No. 37/2017-Central Tax, then the exporter’s LUT will be liable for rejection. In case of rejection, the LUT shall be deemed to have been rejected abinitio.”
Members may kindly make a note of the above.