New Delhi, March 9: Foreign tourists in India may be able to get refunds on goods and services tax (GST) paid by them for shopping in India in the near future, with the government planning to take up the long-pending issue soon.
According to sources, work on the procedure and rules for refund of GST to foreign tourists will be started soon and could be implemented early next year.
“While the Integrated GST Act has provided for GST refund to foreign tourists for local shopping that is taken out of the country, the rules and procedure have to be finalised. It is planned to be taken up shortly,” said a source familiar with the development.
Refund of GST or value added tax (VAT) to foreign tourists is available in a number of countries, as taxes are typically not exported. Foreign visitors can typically get these refunds at the airport at the time of their departure.