- Goods & Service Tax Network has enabled facility for filing Letter of Understanding for FY 2022-23 on the Goods & Service Tax Portal.
- Letter of Understanding application is needed to be submit before 31st March 2022, on or before supply for Special Economic Zone and Exports.
- Except for those who have been prosecuted for any offence under the CGST Act, the IGST Act, 2017 or any other existing law & amount of tax evaded in such cases exceeds 250 lakh rupees, all registered persons who intend to supply goods or services for export without payment of integrated tax have been granted the Letter of Understanding facility.
- Whenever an acknowledgment for a Letter of Understanding with the Application Reference Number (ARN) is created online, it is believed to have been approved. GSTN considers Letter of Understanding to be acceptable. There is no need to wait for Letter of Understanding approval because it is instantaneous.
Keynote: The Last year Letter of Understanding has been valid upto 31st March 2022 only.