BILL TO OVERSEAS- SHIP TO INDIA FROM INDIA

[Neeta Dharamshi]

We have delivered goods to Indian party as per order from overseas party. Billing is in the name of overseas party and ship to is Indian party. We have paid full gst amount since goods are not crossing Indian border .

Now we want to receive payment from overseas customer but bank is not allowing us to receive payment. we are ready for payment in INR too

what is way out. how to get this payment. Has anyone faced this problem? How to resolve it. whom to contact in RBI for this issue.

pls reply urgently

[Robert Kunnel]

The FTWZ Owner can hold the goods on behalf of the foreign client, the foreign client will raise his invoice on the Indian Buyer who will pay applicable custom duty on the said invoice. The Bill of entry will be filed by the Indian Buyer based on said invoice. And BOE can be submitted for remittance.

There is no commercial activity, (no manufacturing activity is permitted in FTWZ) the goods are sold as such to Indian Buyer. But if the foreign client wishes he can repack the packages considering same as general cargo. He is also allowed to do the kitting if required.

The said activity can be done on basis of Authorisation from foreign /Indian client.

[Saurabh SRIVASTAVA]

Respected Fellow Members, I am into same situation. We delivered the goods to India address from India (These were Medications for ship staff at Indian port) and received remittances in USD. The issue is PNB keeps sending reminders to submit shipping bill, which we do not have as it was not exported. PNB has listed all the payments received since 2015 and asking us to provide shipping bill for advance payment received. My question is how do I justify under which law i can be exempted for Billing Overseas and suppling In India from India. Any help regarding the law will be very much helpfull.

[Saurabh SRIVASTAVA]

Adding to above : We paid GST on all purchses / supplies

[VIKAS BANSAL]

Dear Subhash Ji,

Can you please mail me ([email protected]) all the relevant documents as i am facing same issue.

Thanks in advance

[SHARAN RAYAPROL]

dear sir,

what you are trying to do is a kind of hawala transaction, which is illegal and punishable under FEMA with imprisonment and fine. pl avoid entering into such transactions or you may land into trouble.

[VIKAS BANSAL]

Dear Sir,

I think you have not understand my question properly???

[VIKAS BANSAL]

Dear Subramanya Ji,

I think you have not understand my question properly and without understanding should not reply like this..

My question was same as of neeta

AI Summary

Receipt in foreign exchange: inward remittance permitted under FEMA for domestic supplies billed overseas when bank is shown applicable regulations.
Supplies made and billed to an overseas party but delivered in India are domestic transactions for GST; export treatment is unavailable if goods do not cross the border. Receipt of payment from the overseas billed party is nonetheless permissible under FEMA: banks may receive inward remittance in free foreign exchange or credit INR balances (Vostro accounts) under the Foreign Exchange Management (Manner of Receipt and Payment) Regulations and related RBI circulars, provided the prescribed purpose code and documentary justification are furnished. Practical alternatives include payment via the Indian recipient or routing through an FTWZ with a bill of export.