Rejection of Exported Goods+Refund of export proceeds

[Payal Udasi]

We exported goods to Sanctioned countries and we received the payment as well, However now the customer has rejected the goods and also asked for payment of import expenses bared by them,

We thought of treating as import from the customer, but what about extra payment of reimbursement of expenses to be treated in order to close the BOE on IDPMS,

Regards,

 

[YAGAY andSUN]

Against this Particular Shipping Bill which cleared you EDPMS, Your BoE shall be the foundation for clearing of IDPMS by providing the cross reference, details of communication about export rejection to your AD (Bank). Export Invoice amount will be the assessable value for filing of BOE. Any extra expenses shall be reported to your AD (Bank) to show your bonafides in this transaction.

[Shilpi Jain]

There is a provision which allows you to re-import the goods and remit the proceeds subject to certain conditions. It is suggested to approach the AD Bank for this.

AI Summary

Navigating Complex Export Scenario: Resolving Goods Rejection, Payment Disputes, and Regulatory Compliance under Foreign Exchange Guidelines A company exported goods to a sanctioned country and received payment, but the customer rejected the goods and requested reimbursement of import expenses. The discussion explores how to handle the export rejection, close the Bill of Entry (BOE), and manage the financial implications through the authorized dealer bank, considering potential re-import options and reporting requirements under foreign exchange regulations.