International passengers buying goods at airport ‘duty-free’ shops in New Delhi will have to pay Goods and Services Tax, with the Authority for Advance Ruling saying such outlets at the Delhi International Airport is not ‘free from duties’ under the new indirect tax regime.
In the earlier regime of excise and service tax prior to GST roll out on July 1, 2017, the duty-free shops were exempt from the levy of central sales tax and value added tax as sale from such shops were considered as exports and supplies were taking place beyond the ‘customs frontiers’ of India.
The New Delhi bench of the AAR in a recent ruling has held that the supply of goods to the international passengers going abroad from ‘duty free’ shops may be taking place beyond the customs frontiers of India under Integrated GST Act, but the said shops are within the territory of India under the Central GST Act.
The ruling was in response to an application filed by Rod Retail Private Ltd. which runs a retail outlet at Terminal 3 (International Departure), Indira Gandhi International Airport, New Delhi.
22/04/18 PTI/Bloomberg Quint
To Read the News in full at Source, Click the Headline
In the earlier regime of excise and service tax prior to GST roll out on July 1, 2017, the duty-free shops were exempt from the levy of central sales tax and value added tax as sale from such shops were considered as exports and supplies were taking place beyond the ‘customs frontiers’ of India.
The New Delhi bench of the AAR in a recent ruling has held that the supply of goods to the international passengers going abroad from ‘duty free’ shops may be taking place beyond the customs frontiers of India under Integrated GST Act, but the said shops are within the territory of India under the Central GST Act.
The ruling was in response to an application filed by Rod Retail Private Ltd. which runs a retail outlet at Terminal 3 (International Departure), Indira Gandhi International Airport, New Delhi.
22/04/18 PTI/Bloomberg Quint
0 comments:
Post a Comment