Sale in the course of import

[PARVEEN ARORA]

Dear Sir

We are importing machines from France.

The machines will be sold to  Bank (customer) at Mumbai.

 Bank (customer)  is saying that they will give us a Purchase Order and the same can be cleared from Customs under SITCOI (Sale in the course of Import) process. Other than PO, they will not provide any other documents for this sale/transaction.

In this regard pl give us the option that the sale will covered in "Sale in the course of import" (exempted sale)

Thanks & regards

AI Summary

Sale in the course of import: ensure privity, integral link, and importer-as-agent to claim exemption.
Qualification for sale in the course of import exemption requires demonstration of privity of contract between the local buyer and foreign supplier, an integral connection between the sale and the import, and that the importer functions in practice as an agent of the ultimate user; a purchase order may suffice if it evidences these elements.