Illogical rules need review

Despite the clarifications, anomalies persist at the ground level

When the Goods and Services Tax (GST) was introduced last July, no exemption/refund was available for export-related transactions, except for zero-rated supplies. In October 2017, supplies to merchant exporters were allowed on payment of 0.1 per cent tax [notifications 41/2017-IT (Rate) and 40/2017-CT (Rate)], refund of tax paid on deemed export allowed (notification 48/2017), import under advance authorisations and EPCG (Export Promotion Capital Goods) authorisations allowed without Integrated GST (IGST) payment (notification 79/2017-Cus) and import by Export-Oriented Units (EOU) allowed without IGST payment (notification 78/2017-Cus). These exemptions/ refunds were subject to certain conditions.

In January, Rule 96 (10) of the