Goods to be Imported under Bill to Ship Concept

[Subhajeet Banerjee]

Dear Sir,

One my Supplier "X" who is in Singapore wants to Send the Goods to India under Bill to Ship concept, i.e They want to Bill to a party in Chennai Say "Y" and ship it to Delhi Say "Z". Whether this type of transactions is allowed as per GST and Custom act.

AI Summary

Bill-to-ship-to commercial arrangements require genuine invoicing for GST and proper customs mechanisms before clearance.
Bill-to-ship-to arrangements may be acceptable under GST if genuine and supported by intermediate invoicing showing an actual sale, enabling the consignee to clear goods. Under Customs law, ownership in the customs area vests with the state until an importer claims goods; recognized mechanisms such as high seas sale or in-bond transfer require the ultimate buyer to file the home-consumption Bill of Entry and pay duties, so proper customs documentation is necessary for a party other than the billed party to clear the goods.