payment not receive for samples-how to go about it

[Ramakrishnan Seshadri]

Dear Sir,

We are manufacturer of automobile parts and we are sending samples to our customers under free sample invoice for which we will not received payment. For this we obtain GR waiver certificate from the bank and send the same,

As instructed by the bank as per the rbi guidlines , gr waiver value is restricted to ₹ 5 lakhs for the financial year. After that gr waiver is not possible. In this case if we send samples exceeding the value of ₹ 5 lakhs for which payment will not be received how to proceed for shipment .

Experts please request your guidance and support.

Thanks & Regards,

S.Ramakrishnan

AI Summary

Auto Parts Manufacturer Seeks Guidance on Exceeding RBI's 5 Lakh Free Sample Limit; Considers Trade Fairs and Export Write-Offs. A manufacturer of automobile parts is facing an issue with not receiving payments for samples sent under a free sample invoice. They have a GR waiver certificate from the bank, but it is limited to 5 lakhs per financial year as per RBI guidelines. They seek advice on how to proceed with shipments exceeding this value. A respondent suggests approaching the regional office of RBI through the AD bank for permission to exceed the limit. They also recommend utilizing export write-offs or participating in trade fairs, where RBI allows a $5000 gift per fair, to manage the excess.