GST Refund Exports

India-Specific

Indian exporters are entitled to refund of GST paid on inputs used in exported goods — exports are zero-rated under Indian GST.

Sources

1. CBIC — Integrated Goods and Services Tax Act, 2017, section 16 (Zero rated supply) taxinformation.cbic.gov.in accessed 22 September 2026

Section 16 of the IGST Act, 2017 defines a zero rated supply as “(a) export of goods or services or both; or (b) supply of goods or services or both for authorised operations to a Special Economic Zone developer or a Special Economic Zone unit.” It then gives an exporter two routes: supply “without payment of integrated tax, under bond or Letter of Undertaking” and claim a refund of unutilised input tax credit; or supply “on payment of integrated tax and claim refund of the tax so paid”. Neither route applies where the goods are subject to export duty.

The answer above simplifies this to a refund of GST paid on inputs. The Act gives two distinct routes — a refund of unutilised credit when exporting without paying IGST, or a refund of the IGST actually paid — and choosing between them is a cash-flow decision for the exporter.

Related terms

• APEDA
• CBIC
• CII
• DGFT
• ECGC India
• EEPC India

From the AJG lexicon archive (July 2026).