Remittance of foreign exchange to the agent abroad before realization of export proceeds

[satbir singhwahi]

can foriegn commission to agent abroad be remitted before realisation of export proceeds,if goods are exported under letter of credit and acceptance has been received for the documents sent through bank.where to get CDX form (paragraph II H.4(1)- statement of commission on export.

AI Summary

Foreign Exchange Remittance to Foreign Agents Allowed Post-Shipment Without Prior Realization, Per Paragraph C26 of Master Circular. A query was raised regarding the remittance of foreign exchange to an agent abroad before the realization of export proceeds, specifically when goods are exported under a letter of credit and acceptance of documents has been received through a bank. The response indicated that according to paragraph c26 of the master circular dated July 1, 2009, payment to the foreign agent can be made after shipment without the condition that foreign exchange must be realized first. The discussion also inquired about obtaining the CDX form for the statement of commission on export.