TaxTMI 
TaxTMI 
One of our customers want to procure a capital item under EPCG scheme. We are importing this item from our Principals in US and selling to this customer as High Sea Sales. Can we sell to him in Indian Rupees or is it mandatory that the transaction should be in US$? Please clarify
Capital item in Indian currency or U$
23 Nov 2006 
2 Replies 
1684 Views Asked by
EPCG scheme: high sea sale proceeds need not be in foreign exchange; billing in Indian rupees permitted.
There is no requirement that consideration for a high-sea sale under the EPCG scheme be paid in foreign exchange; the intermediary may invoice and receive payment in Indian rupees and the rupee invoice plus any margin will form the assessable value for import duty when the EPCG licence holder imports the capital goods. (AI Summary)
There is no requirement that consideration for a high-sea sale under the EPCG scheme be paid in foreign exchange; the intermediary may invoice and receive payment in Indian rupees and the rupee invoice plus any margin will form the assessable value for import duty when the EPCG licence holder imports the capital goods. (AI Summary)