01Overview
What is a GST LUT?
A GST Letter of Undertaking (LUT) is a declaration that allows eligible GST-registered exporters to supply goods or services for export without paying Integrated Goods and Services Tax (IGST) upfront, subject to applicable GST provisions. It is filed in Form GST RFD-11.
Under the GST framework, eligible exporters can use an LUT to make zero-rated supplies without paying IGST at the time of export, instead of paying the tax upfront and subsequently seeking a refund, subject to applicable rules.
A GST LUT is generally valid for one financial year and must be filed again for each subsequent year if the exporter wishes to continue exporting without payment of IGST. Before filing, businesses generally need GST registration and must meet the relevant eligibility conditions.
02Benefits
Key benefits of GST LUT filing
Filing an LUT is particularly useful for businesses that regularly provide services to overseas clients or export goods to international markets.
Improved cash flow
Avoids upfront IGST payment on eligible export supplies made under a valid LUT.
Simplified export compliance
Reduces the need to claim refunds of IGST paid on export supplies covered by a valid LUT.
Reduced working capital pressure
Keeps funds available for business operations instead of tying them up in tax payments pending refunds.
Support for international trade
Makes it easier for eligible exporters to manage their tax obligations while serving overseas customers.
03Eligibility
Who is eligible to file an LUT under GST?
An LUT can be furnished by eligible GST-registered taxpayers who intend to export goods or services, or supply goods or services to a Special Economic Zone (SEZ) developer or unit, without payment of IGST, subject to applicable GST rules.
- Valid GST registration: The applicant must have an active GST registration and meet the requirements for furnishing an LUT.
- Export of goods or services: The taxpayer must intend to make eligible zero-rated supplies, including exports of goods or services.
- Supplies to SEZs: Eligible supplies to SEZ developers or units may also be made under an LUT, subject to the prescribed conditions.
- Compliance with GST laws: The applicant must satisfy the applicable conditions, including restrictions relating to prosecution for tax evasion.
- No minimum turnover: There is generally no prescribed minimum turnover for furnishing an LUT, provided the eligibility conditions are met.
- Export obligations: The exporter must fulfil the prescribed conditions and timelines relating to export supplies and payment realisation, wherever applicable.
04Documents
What documents are required for GST LUT filing?
Keep the relevant GST registration details and supporting information ready. The following may be required, depending on the applicant's circumstances:
- GST registration details: Valid GSTIN and registered business information.
- PAN card: PAN details of the business or applicant, as applicable.
- Authorised signatory details: Name and identification details of the person authorised to submit the LUT.
- Authorisation letter or board resolution: Where applicable to establish the signatory's authority.
- Import Export Code (IEC): Relevant for exporters where applicable to their business and export activities. Get an IEC if you don't have one.
- Previous LUT details: Information from the previous financial year's LUT, if available.
- Business and contact information: Registered business address, email address, and other details requested on the GST portal.
05Process
Process of GST LUT filing online
The LUT is filed online through the official GST portal using Form GST RFD-11.
Step 1: Log in to the GST Portal
Visit the official GST Portal (opens in a new tab) and log in using your registered credentials.Step 2: Navigate to the LUT filing option
Go to Services → User Services → Furnish Letter of Undertaking (LUT).Step 3: Select the financial year
Choose the financial year for which you want to furnish the LUT. A fresh LUT is generally required for each year.Step 4: Complete Form GST RFD-11
Review the pre-filled details and complete the required declarations and undertaking details.Step 5: Verify the information
Check business details, authorised signatory information, and declarations, and provide any additional information requested.Step 6: Submit the LUT
Accept the prescribed terms and submit using the available authentication method, such as a DSC or EVC, as applicable.Step 7: Download the acknowledgement
Download or save the acknowledgement and ARN, where generated, and keep a copy of the filed LUT.
06Portals
Official government portal
The LUT is furnished on the official GST Portal.
07Why Tax Uncle
Get GST LUT filing assistance with Tax Uncle
Tax Uncle assists exporters, service providers, manufacturers, and other eligible businesses with understanding the GST LUT requirements and completing the online filing process.
Our aim is to simplify GST compliance so you can focus on expanding your export business while managing your tax obligations efficiently.