LUT under GST – Know, Prepare Documents and Apply for LUT – Series 1

By | December 4, 2025
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LUT under GST – All Exporters Must Know This

The goods and services tax (GST) is a type of tax levied on most goods and services sold for domestic consumption in many countries. It is paid by consumers and remitted to the government by the businesses selling the goods and services.

What is LUT in GST?

Letter of Undertaking, abbreviated as LUT, is a legal declaration that allows exporters to export their goods or services without payment of Integrated Goods and Services Tax (IGST) at the time of export.

Instead of paying tax and then later on claiming refund, exporters can furnish an LUT certificate to the GST department and export their goods/services without tax payment.

LUT certificate must be filed online using Form GST RFD 11 form on the GST portal. If it is not filed, the exporter is required to pay IGST on their exports and then claim a refund. LUT certificate validity is for one financial year starting from the date it is submitted on the GST Portal. LUT GST renewal must be done every year.

Advantages of Filing LUT

If you file a Letter of Undertaking (LUT), then it comes with many benefits to exporters and these advantages are as follows:

  • LUT registration online helps exporters to carry out their export transactions without the burden of immediate tax payment. In contrast, you have to pay taxes upfront and later claim refunds for zero-rated exports.
  • The exporters can avoid the complexity of claiming tax refunds or including in the long process of follow-ups with the tax authorities. So, this saves a lot of time for exporters.
  • The funds that are locked as a tax payment will be available to exporters. This benefit works perfectly for small and medium-sized businesses because they have to fulfill some financial and capital requirements.
  • Get benefits for the entire financial year, by applying once with the LUT. So, there is no need for repetitive filing and the exporters will work on their core activities.
  • Last, the LUT certificate will help you navigate the realm of international trade with greater efficiency and flexibility.
  • LUT registration fees are zero, according to government policy.

Eligibility Criteria to File Letter of Undertaking in GST

The eligibility criteria to file a LUT in GST are as follows:

  1. Any registered taxpayer engaged in the export of goods and services should file a Letter of Undertaking (LUT) with GST authority.
  2. The applicant supplies goods or services from India to foreign countries or Special Economic Zones.
  3. To avail the benefits the entity must be registered under the GST framework.

How to apply for LUT under GST

You must apply for the Letter of Undertaking (LUT) under GST

online through the official GST Portal. The process is entirely digital and involves submitting the Form GST

RFD-11.

Step-by-Step Online Application Process

To file the LUT, follow these steps on the GST Portal:

  1. Log in to the GST Portal using your valid credentials.
  2. Navigate to the Services tab > User Services > Furnish Letter of Undertaking (LUT).
  3. Select the financial year for which you are applying for the LUT from the drop-down list (e.g., 2025-26).
  4. If you have a manually approved LUT from a previous period that you wish to record online, click the ‘Choose File’ button to upload it (PDF or JPEG format, max 2 MB).
  5. Fill in the details in the displayed Form GST RFD-11. Your GSTIN and legal name will be pre-filled.
  6. Tick the three checkboxes to provide a self-declaration that you will:
    • Complete the export of goods/services within three months.
    • Abide by all GST laws and regulations concerning exports.
    • Pay IGST with 18% interest if you fail to export within the specified timeframe.
  7. Enter the details of two independent witnesses, including their names, occupations, and addresses.
  8. Enter the Place of Filing and select the name of the authorized signatory from the drop-down list.
  9. Click ‘SAVE’ and then ‘PREVIEW’ to review the form for correctness before final submission.
  10. Sign and file the form using either:
    • Digital Signature Certificate (DSC): Mandatory for Companies and Limited Liability Partnerships (LLPs).
    • Electronic Verification Code (EVC): An OTP will be sent to your registered mobile number and email address for verification (applicable to Proprietors, Partnership Firms, HUFs, etc.).
  11. Upon successful submission, a unique Application Reference Number (ARN) will be generated, and an acknowledgment can be downloaded.

The status of the LUT can be checked under the ‘View My Submitted LUTs’ section on the portal. The application is typically processed and deemed approved within three working days if no clarification is sought by the tax official.