Deemed exports refer to transactions where goods are supplied within India but are treated as exports under the Foreign Trade Policy (FTP). The goods remain physically in the country, but payment can be received in either Indian Rupees or foreign currency.
Despite no actual physical export, these transactions are eligible for export-related benefits, provided they meet specific government-defined conditions.
Must be submitted to the concerned Regional Authority under DGFT.
o Certification from Project Authorities
o Copy of contract/tender under International Competitive Bidding
o Payment realization proofs
o Duty-paid certificates (for supplies like HSD fuel from PSU oil companies)
• Claims for TED Refund and Drawback must be filed within 12 months of:
o Full payment realization (in post-supply cases), or
o Last date of supply (for advance payment cases)
All supplies and payments must be completed before filing for benefits
Businesses engaged in deemed exports can avail several financial incentives and duty reliefs, such as:
Import inputs for manufacturing without paying basic customs duties—leading to cost-effective procurement and competitive pricing.
Claim duty drawback on inputs used to manufacture goods supplied under deemed export categories. Refunds can be claimed at:
• All Industry Rate (AIR), or
• Brand Rate, based on documentary evidence
In cases where excisable goods are supplied under deemed export categories, eligible suppliers can apply for a refund of Terminal Excise Duty, provided the supplies meet the prescribed conditions.
Under GST law, deemed exports are not zero-rated by default. GST must be paid at the time of supply. However, refund of the tax paid can be claimed by
Whether you are supplying under EPCG, ICB, or to EOUs and STPs, we ensure your business maximizes every available government incentive.
Contact Global Tax Masters today to get started with your Deemed Export Benefits application and refund process.
