ITC Refund on Dropshipping
Hello, I own a small brand in the USA, and most of my products are shipped from within USA (some from china too), my business solely a type of dropshipping model, where product does not enter into India.
But, money does enter into India like -
Customers Pays on Store(USD) -> Paypal(USD) -> Indian Bank account (INR)-> Payment to Supplier (USD)
The rest amount is used for marketing on FACEBOOK & GOOGLE which charges GST.
So the problem is, my input is getting accumulated, and since I am not selling in India, my output is always zero.
The GST is eating up my margin (18% on ads is huge), so my main question is, Is there any way to get this into refund? by explaining to the government?
Since dropshipping = out and out sale, CBDT has mentioned that input tax credit can be claimed, but haven't described claiming a refund on it.
I only found a solution, that is to now incorporate into the different country!
This GST thing is Killing Indian business.
Asked 6 months ago in GST from Jabalpur, Madhya Pradesh
So, incorporating into different country is the only solution?
Asked 6 months ago