Letter of Undertaking is abbreviated as LUT. The Letter of Undertaking is a document submitted by the exporter in order to export goods or services without the payment of taxes. In case the LUT is not filed, the exporter may export by payment of IGST and then claim the refund of tax paid. Filing LUT is convenient than refund mode as the exporters do not wish to indulge into hassles of refunds and block their funds. The eligibility criteria to apply for LUT is comparatively relaxed than to the erstwhile system.
Letter of Undertaking is filed online using the form GST RFD 11. By filing LUT, the exporter undertakes that all the requirements prescribed for this route will be fulfilled by him.
Advantages of LUT under GST:
- Saves working capital
- Exports without tax payment
- Simple and online process
- Entire financial year validity
We at Wise Tax Filings make it easy and inexpensive to file your LUT under GST. With expert support along with timely and accurate filings, we have made it hassle free for you to get started.
Documents Required for LUT Filing:
Entity’s PAN Card
A Copy of PAN card of the exporter entity
KYC of Authorised Signatory
A Copy of PAN card and Aadhar card of partners/directors
Witnesses
Information of at least two witnesses along with the address proof and PAN
GST Registration
GST Registration Certificate of the exporter is required
IEC Certificate
The IEC certificate must be submitted
Cancelled cheque
A Copy of cancelled cheque of current account of exporter
File LUT in 3 easy steps:
1. Answer quick questions
Pick a package that best fits your requirements. It takes less than 5 minutes to fill our questionnaire. Provide basic details & documents required for registration along with making payment.
2. Experts will be there to help
A relationship manager will be assigned to assist you for reconciliation of the information.
3. Your LUT is filed.
It only takes 3-5 working days!
Day 1 – Collection
- Discussion and collection of basic Information
- Collection of required documents
Day 3 – 4 – Execution
- Preparation for the Letter of Undertaking
- Online Submission of LUT
Day 5 – Acknowledgement
- Sharing Acknowledgment bearing ARN
Frequently Asked Questions:
How goods or services can be exported from India?
Exports of goods and services are done either with the payment of applicable GST or without the payment of GST. In the first portion, the taxes paid are refunded to exporters subject to conditions of exports. For exports without payment of taxes, the exporters are required to file Letter of Undertaking.
When is the Letter of Undertaking required to be filed?
If the exporters wish to opt for exports without the payment of taxes, the Letter of Undertaking is required to be filed. First time filing can be made any time before exporting without taxes. However, if the exporter wants to continue the same to the next financial year, it must be filed before the commencement of the financial year.
Who is eligible to file Letter of Undertaking?
Earlier criteria of turnover and inward receipts were prescribed for filing LUT under GST. However, now any exporter willing to export without paying the taxes can file Letter of Undertaking under GST online.
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Call us at: 1800 123 0000 or Email us: hello@wisetaxfilings.com