Filing Letter of Undertaking (LUT) in GST
What is LUT under GST?
LUT stands for Letter of Undertaking in GST. It's a form (GST RFD 11) that exporters use to declare that they'll follow all GST requirements while exporting goods and won't pay IGST.
Who Needs to File LUT in Form GST RFD-11?
All registered goods and service exporters must file GST LUT except those prosecuted for tax evasion above Rs. 250 lakhs. They need to submit an Export bond.
Why LUT is Required?
LUT expands exports by providing relief. Experts at Taxgate Advisors can assist with GST LUT filing.
Eligibility for Filing LUT in GST
Registered taxpayers exporting goods or services can use LUT if they haven't been prosecuted for significant tax evasion. LUT is valid for a year.
Documents Required for LUT under GST
- LUT cover letter duly signed
- Copy of GST registration
- PAN card
- KYC of authorized person
- GST RFD11 form
- IEC code copy
- Canceled Cheque
- Authorized letter
Process for Filing LUT in GST
- Check requirements and jurisdiction.
- Prepare necessary documents.
- File Form RFD-11 and prepare an export bond if needed.
- Submit documents to the department.
- Officer verifies and issues a signed letter.
Who Can Use LUT?
Any registered taxpayer exporting goods and services can use LUT except those prosecuted for tax evasion above Rs. 250 lakh.
Filing Export Bond for GST
Ineligible entities submit an export bond and a bank guarantee. Amount covers estimated tax liability.
Form for Bonds:
- Registered Name
- Address
- Bond amount
- Date of furnishing
- Bank guarantee amount
- Signature, date, place
- Witness details
FAQs:
- What to file in LUT? GSTIN and Name will be prefilled. Add financial year, witness details.
- Is manual LUT recording mandatory? No, but you can do it online.
- Who signs LUT application? Authorized signatory.
- How to know if LUT filing is done? ARN and acknowledgment are generated.
- Can you view LUT after filing? Yes.
- Is LUT filing mandatory? Yes, to export without IGST.
- Consequences of not filing LUT? Pay IGST or furnish export bond.
- Who can furnish LUT? Exporters of goods/services.
- Who can't furnish LUT? Those prosecuted for tax evasion above Rs. 2.5 crore.
- Documents needed for GST LUT filing? LUT cover letter, GST registration copy, PAN, KYC, GST RFD11 form, IEC code copy, Canceled Cheque, Authorized letter.