Menu
BW CFO World
Community for Finance Professionals, Consultants and allied businesses
  • Home
  • News
  • Videos
  • Articles
    • Credit & Capital
    • Economic Trends
    • Financial Compliance
    • Financial Leadership
    • Financial Management
    • Financial Reporting
    • Financial Strategy
    • Risk Management
    • Taxation
  • Featured
  • Nominate for Awards
Close Menu
tax 2
October 4, 2022

GST Extension On Export Ocean Freight Lauded

Urvi Srivastava Financial Reporting Export, GST, Ocean Feight

The exporters have asked for an extension of the previously granted exemption from Goods and Services Tax (GST) on export freight

The exporters have asked for an extension of the previously granted exemption from Goods and Services Tax (GST) on export freight. The reason cited is that the non-extension will add to the liquidity challenges being faced by the exporters. This was addressed in a letter to finance minister Nirmala Sitharaman recently.

The Federation of Indian Export Organisations (FIEO) wrote in the letter that the overseas freights had increased 300-350 per cent from pre-Covid level and that the refund of GST through Input Tax Credit comes with a lag of 2-3 months. This in turn affects the cash flows. The GST exemption on export freight ended on 30 September, after which the exporters would have to pay 18 per cent GST on export ocean freight.

In a public statement, the FIEO stated, “The global trade is entering into a very difficult phase as countries are facing high inflation and impending recession affecting the demand. The rate of growth in exports is also coming down as can be seen in the export growth rate from April-August,2022. Non-extension of notification has caused panic and uncertainty adding to the liquidity challenges of the exporters” FIEO said.

The goods exports had recorded a reduction in growth to 1.62 per cent in August and the trade deficit rose to more than double and reached 27.98 billion dollars from the year-ago period. The imports too, rose 37.28 per cent to 61.9 billion dollars in August this year. The apex body of the exporters also mentioned that due to the cost of credit for the exporters being much high, an exemption would help the export sector to have better liquidity.

Urvi Shrivastav

→ Urvi Shrivastav

Indian Banks Raise Lending Rates After RBI Hiked Repo Rate Microfinance Industry’s Code of Conduct Released

Related Posts

Anurag Mishra CFO

Financial Reporting

JW Marriott New Delhi Appoints Anurag Mishra as Director of Finance

economy

Financial Reporting

Economy Remains Steady In Recent Months: PHD Chamber

20220714_125227

Financial Reporting

Infosys Reports Strong Growth In Q3, Revenues Jump To Rs 38,318 Cr

Selected Stories

  • Anurag Mishra CFOJW Marriott New Delhi Appoints Anurag Mishra as Director of Finance

    Read more

  • 1678170556_zXCK41_CFOBest CFO & Finance Strategy Awards: Navigating Through Uncertain Macroeconomic Environment

    Read more

  • economyEconomy Remains Steady In Recent Months: PHD Chamber

    Read more

  • 20220714_125227Infosys Reports Strong Growth In Q3, Revenues Jump To Rs 38,318 Cr

    Read more

  • 20211201_100953-1Tech Mahindra, Microsoft Collaborate To Deliver Cloud-powered 5G Core Network Modernisation For Telcos

    Read more

Movements

  • zUah2lDb_400x400Deloitte India Named Romal Shetty As CEO For Four-Year Term
  • cfo imageVishnuhari Pareek Named As Head Of Finance At Arkam Ventures
  • thumbnail_Sidharth1Siddharth Sehgal Is New CFO Of BeatO
  • Business men giving a handshake. Business conceptRamamurthy Becomes MD, CEO of BSE, SEBI approves appointment
  • 1554629557880Arvind Agarwal Resigns Nykaa, Joins PayU India As CFO

Categories

  • Accounting
  • CFO Stance
  • Credit & Capital
  • Economic Trends
  • Featured
  • Financial Compliance
  • Financial Leadership
  • Financial Management
  • Financial Reporting
  • Financial Strategy
  • Financial Technologies
  • Global News
  • Interview
  • Movements
  • Risk Management
  • Taxation

Recent Comments

    Back To Top
    BW CFO World
    • Home
    • News
    • Videos
    • Articles
      • Credit & Capital
      • Economic Trends
      • Financial Compliance
      • Financial Leadership
      • Financial Management
      • Financial Reporting
      • Financial Strategy
      • Risk Management
      • Taxation
    • Featured
    • Nominate for Awards
    © Copyright BW BUSINESSWORLD 2018. All Rights Reserved.