Why to Apply LUT Renewal For FY 2022-2023

LUT is Letter of undertaking , in Previous Law Excise LUT was valid for one financial year. Same consent have been used in GST Law where LUT Validity is one year. Means LUT applied in Financial year FY 2021-22 was valid till 31.03.2022. Hence For FY 2022-23 LUT Renewal is applicable. From https://www.gst.gov.in/ site LUT For FY 2022-23 cab be applied online 

Example : M/s ABC Ltd applied LUT in June 2021 , that was valid till 31.03.2022. Hence ABC Ltd need to apply for LUT Renewal For FY 2022-2023.

LUT Renewal For FY 2022-2023

• Apply Online For LUT Renewal 
• Validity of LUT of FY 2022-23 is 1 Year
• Digital Signature / EVC is mandatory 
• Mandatory For Export Under Zero Rate 

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Legal Provision For LUT Renewal

As per the circular No. 8/8/2017 of GST Para 2(b) The LUT shall be only valid for the whole financial year in which it is submitted. Thus, the validity of LUT issued in the financial year 2022-23 would be until 31/03/2020. Hence LUT Renewal is required to make export under zero rate tax. 

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Procedure for Renewal of Letter of Understanding

Below are 5 steps For Procedure for Renewal of Letter of Understanding

• Step- 1: Login to the GST portal > Services > Letter of Undertkaing
• Step– 2: Select the Financial year
• Step– 3:  Attach Previous copy of LUT
• Step- 4: Fill necessary Details
• Step- 5 Attach  DSC / Use EVC to Upload & Get ARN

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List of Documents For LUT Renewal Procedure

Following List of documents / Information required for LUT Renewal

1. Previous LUT certificate
2. GST Login ID
3. GST Login password
4. Online Form RFD 11
5. DSC of Authorized person in case of Company / LLP

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LUT Approval FY 2022-23

Once GST Registered person file LUT online and generate ARN number LUT is deemed to be accepted by GSTN. LUT approval is instant hence no need to wait for it. The system generates an ARN and displays a confirmation message. Also LUT Can be downloaded online.

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Validity of LUT of FY 2022-23

As per the circular No. 8/8/2017 of GST Para 2(b) LUT is valid for one financial year. LUT of FY 2020-21 shall be valid till 31.03.2022. Even applied in middle of year validity of LUT Shall be same.

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Physical Submission of Documents to GST Office for LUT Renewal

From Year FY 2018-19 GST Department started accepting Letter of undertaking online. Hence there is no need for Physical Submission of Documents to GST Office for LUT Renewal. However clear guide lines for physical submission of document is absent. Online ARN copy is sufficient.

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