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Amendment in Para 4.10 (i) of the Handbook of Procedures, 2023.

Amendment in Para 4.10 (i) of the Handbook of Procedures, 2023.

The DGFT amends the Para 4.10 (i) in the Handbook of Procedures, 2023 to permit availment of Input Tax Credit on GST paid material, in respect of Advance Authorization Scheme, for ease of doing business and reduction of transaction cost.

Existing Para 4.10(i)

Amended Para 4.10(i)

Transfer of any duty-free material imported or procured against Advance Authorisation from one unit of a company to another unit for manufacturing purpose shall be done with prior intimation to jurisdictional Customs Authority. Benefit of Input Tax Credit shall 

not be claimed on such transferred input.

Transfer of any duty-free material imported or procured against Advance Authorisation from one unit of a company to another unit for manufacturing purpose shall be done with prior intimation to jurisdictional Customs Authority. In case of transfer of duty free imported or indigenously procured materials, on which GST has been paid, between the units located in same or 

different States, the availment of Input Tax Credit shall be governed as per the provisions of the GST law & the rules made thereunder.

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