Home » News » Foreign shipping lines exempted from GST on import of services

Foreign shipping lines exempted from GST on import of services

The move brings cheer to foreign shipping lines, such as Maersk, Orient Overseas Container Line Ltd and Hapag Lloyd Mediterranean Shipping, who were served notices for non-payment of GST on import of services.
Facebook
Twitter
LinkedIn
WhatsApp
Email

The Directorate General of Goods and Services Tax Intelligence (DGGI) has exempted about Rs.3000 Cr in GST on import of services on about 18 foreign shipping lines. The move brings cheer to foreign shipping lines, such as Maersk, Orient Overseas Container Line Ltd and Hapag Lloyd Mediterranean Shipping, who were served notices for non-payment of GST on import of services from July 2017 onwards.  The DGGI withdrew the notice for GST dues as the shipping lines gave a joint undertaking that there was no import of services in 2017-18. However, the tax demand for subsequent years stands as it was.

The DGGI had served the notices following an investigation which revealed that the branch offices of foreign shipping companies and foreign airlines in India had not paid GST under the reverse charge mechanism for services such as rental, maintenance of aircraft and salary paid of crew abroad.

Facebook
Twitter
LinkedIn
WhatsApp
Email

Subscribe to Our Newsletter

One Ocean Maritime Media Private Limited
Email
Name
Share your views in comments

Leave a Reply

Your email address will not be published. Required fields are marked *