Import of capital goods without payment of duty

[VINOD KUMAR]

RESPECTED EXPERTS. GOOD EVENING. Sir, one assessee has imported certain capital goods on payment of applicable customs duty during 2011-12. Now, he intends to send the machinery to USA for repairing. What will be the detailed procedure for export and import (without payment of duty as the same has already been paid). Please reply. Thanks and warm regards.

[SANTHANA KRISHNAN]

1) BANK PERMISSION IS TO BE OBTAINED

2) THE SL NO/ MARKINGS ETC IS TO BE ENDORSED BY THE CUSTOMS IN THE CERTIFICATE OF EXPORTS AT THE TIME OF EXPORTS. THIS IS TO PROVE THE CUSTOMS THAT THE SAME MACHINERY IS GETTING RE-IMPORTED SO THAT PAYMENT OF DUTY IS AVOIDED..

3) HOWEVER THE DUTY IS TO BE PAID ON THE TO and FRO FREIGHT + REPAIR CHARGES ETC.,

TRUST THIS SUFFICES UR REQMTS.

REGARDS

J RAMAMURTHY.

AI Summary

Guide on Exporting Machinery for US Repairs and Duty-Free Re-importing: Steps and Requirements Explained. An individual inquired about the procedure for exporting machinery to the USA for repairs and re-importing it without paying customs duty, as duty was already paid during initial import in 2011-12. The response outlined the steps: obtaining bank permission, having customs endorse the serial number or markings on the export certificate to prove re-importation, and paying duty on transportation and repair charges.