Dear sir/s,
One of my client is having order for export wherein the customer is supplying few items as free issue and want to include the value of free issue materials for charging Duty (amending the order for rate to include free issue mtls value) but do not want to show in invoice & ARE-1 etc. Kindly advise if it can be done, if yes, how the outstanding will get settled as the customer will be pay after deducting the value of free issue mtls.
Client Seeks Advice on Export Duties for Free Issue Materials; Duty Payment and Exemptions Discussed Under GR Waiver. A client plans to export assembled goods using free issue materials supplied by a customer and seeks advice on including the value of these materials for duty charges without showing them on invoices. A respondent suggests showing both chargeable and free-of-cost values on invoices and paying duty accordingly, while obtaining a GR Waiver from the bank. Concerns about customs objections and duty payment on imported free materials are raised. It is advised that duties are payable unless exempted by notification. Suggestions for duty exemptions and entry tax applicability are discussed, with a recommendation for duty drawback to achieve revenue neutrality. (AI Summary)
TaxTMI 
TaxTMI 
TaxTMI 
