Auto exporters under pressure as over Rs 1,000-cr GST refund gets stuck

In the July-October period, passenger vehicle exports declined by 14.45 per cent to 2,35,933 units as compared with 2,75,789 units in the same period of last year

Passenger vehicle exports from India have run into a goods and services tax (GST) speed breaker as manufacturers have been unable to file claims since July and the pending sum has crossed over Rs 1,000 crore. 
 

Industry players said as the current GST system of making payments upfront and claiming input tax credit refund is not functioning properly, the working capital requirement for companies have increased and they could rethink on exports till the issues stay unresolved.
 

Moreover, Ford India CFO David Schock told PTI that the quantum of cash needed to meet compensation cess of 1-22 per cent under