RD PAYMENT IN HSS

[vijay shukla]

HI MATES,

CAN YOU CONFIRM THAT IF SUPPLIER AND HSS SELLER BOTH ARE SAME IN CASE OFF HSS, HAS REVENUE DUTY TO BE PAID IN HIGH SEA SALES OR NOT.

SINCE HSS BUYER IS DIFFERENT ONE,SO I DONT THINK SO THAT RD HAS TO BE PAY.

KINDLY ADVISE.

[YAGAY and SUN]

Dear Vijay,

The buyer is liable to pay the Customs Duty in HSS transactions. In this matter also duty is required to be paid by the buyer of the goods.

Regards

YAGAY and SUN

(Management, Business & Indirect Tax Consultants)

[vijay shukla]

Dear yagay ji,In case shipment is imported under project, no custom duty has to paid. Revenue duty is the the paid by importer when supplier and importer bothe are same, but after hss another becomes importer, so in that case RD has to be paid or not.

[YAGAY and SUN]

yes it is payable.

[GANESH IYER]

Yes the Consignee have to pay RD and the SVB bond have to be submitted while clearance..

you may refer to the Public Notice 94/2011-12 dt 27.10.2011 of New Custom house where the procedure is explained .

AI Summary

Buyer liability for customs duty in high-sea sales requires importer to pay duty and furnish security for clearance. In high-sea sales the buyer/importer who becomes consignee on importation is liable to pay customs/revenue duty and must furnish an SVB bond or equivalent security as part of the customs clearance procedure; administrative guidance on the bonding and clearance mechanism is referenced.