Gujarat HC strikes down ‘pre-import condition’ under advance authorisation scheme

Background In the pre-GST period, the advance authorization license allowed an exporter to import raw materials used for manufacturing exported goods without payment of taxes on import of raw material used for past exports. Subsequently, the scheme was amended to allow exemption from IGST as well as compensation cess by issuing Notification No.79/2017-Cus dated 13.10.2017. For availing such exemption, a pre-import condition was introduced and also, the export obligation was required to be fulfilled only by physical exports. Similar changes were made in the Foreign Trade Policy (FTP) by way of ...