Duty Free..??

[Chintan Shah]

Dear All,

we import raw material under advance licence (Duty Free), this material we transfer to our another branch...

now let me know... is there any duty charged on transfer of this material to our another branch....???

[YAGAY andSUN]

You can't transfer the material which was procured against Advance Authorization for One Unit to Another Unit.  It is an offence.  Duty, Interest and penalty would be paid by you.  Further, DGFT can put your organization in the DEL Category and deny to issue Licences in the future.

AI Summary

Transferring Duty-Free Raw Materials Between Branches is Prohibited; Violations May Lead to Penalties and DEL Listing. An individual inquired about the duty implications of transferring raw materials, imported duty-free under an advance license, to another branch. A respondent clarified that transferring such materials between units is prohibited and constitutes an offense. This could result in the payment of duty, interest, and penalties. Additionally, the Directorate General of Foreign Trade (DGFT) may categorize the organization under the Denied Entities List (DEL), potentially restricting future license issuance.