CLE seeks early refund, exemption under GST
Council for leather Exports Chairman Shri Mukhtarul Amin accompanied by Shri P.R. Aqeel Ahmed, Vice-chairman met Shri Arun Jaitley, Hon’ble Minister for Finance, Govt. of India and Smt. Nirmala Sitharaman, the then Hon’ble Minister for Commerce and Industry on August 21, 2017. CLE requested to reduce GST for finished leather and composition leather from 12% to 5%, reduce job work for manufacture of leather products and footwear from 18% to 5% and to reduce GST on CETPS from 18% to 5%. “GST on job works should be lowered to 5 per cent and on leather garments and goods to 18 per cent,” said PR Aqeel Ahmed, Vice-chairman, Council for Leather Exports.
Meanwhile, many other export councils and exporters have also proposed that Integrated GST (IGST) refunds should be made on the basis of GSTR3B, which has now been filed by most of them for the month of July. The government could later reconcile it with the actual invoices when detailed filing of returns is done (GSTR-1 and GSTR-2). Exporters of various products have been suggesting to have Incentive schemes such as Merchandise Export from India Scheme and the duty drawback scheme should also be allowed to continue under GST and there should be procedural simplification.
However, an immediate decision by the government is unlikely and all recommendations of the committee will have to be first cleared by the GST Council, which now meets in Oct first week. Officials did not rule out an emergency meeting through video conferencing, if required.