The Central Board of Indirect Taxes and Customs (CBIC) has operationalised a series of reforms aimed at streamlining e-commerce exports and courier-based trade, effective 1st April, in a move to enhance ease of doing business.
A key measure includes the removal of the Rs. 10 lakh cap on courier export consignments, a restriction that had previously limited shipment sizes for exporters using courier channels. The reform is expected to provide a significant boost to e-commerce exporters by allowing greater flexibility in consignment values and facilitating smoother outbound logistics.
In parallel, the Finance Act, 2026 has introduced a major policy shift for service exporters by amending provisions under the Integrated Goods and Services Tax Act, 2017 (IGST Act). The amendment removes the intermediary services clause, thereby changing the place of supply to the location of the recipient rather than the supplier.
Amit Maheshwari stated that the omission of clause (b) under Section 13(8) of the IGST Act effectively aligns intermediary services with the general rule under Section 13(2). He explained that services provided to foreign clients can now qualify as zero-rated exports, enabling exporters to claim refunds, while services received from foreign intermediaries would attract GST with input tax credit eligibility.
Manoj Mishra noted that the change represents a long-awaited correction in the GST framework. He added that the earlier provision had been among the most contentious and litigated areas, with an estimated industry exposure of around Rs. 4,000 crore, particularly affecting the IT/ITES sector, global capability centres, and cross-border service providers.
CBIC further stated that the reforms include a streamlined framework for handling returned or rejected parcels, along with the introduction of a legally backed Return to Origin (RTO) mechanism. Under this facility, uncleared or unclaimed imported goods—provided they are not restricted or under enforcement hold—may be returned to their origin after 15 days through a simplified process.
The measures are also intended to address congestion and delays at international courier terminals, improving operational efficiency across import and export channels.
