Refund of custom duty on Import and then re-export

[Guest]

We wnated to import electronics (data transfer unit) from USA and wanted to add some margin and reexport to another customer in Bangladesh and other countries> Whether Custome duty on import can be refunded or can be saved thru warehousing or any other procedure ? Manoj

[Surender Gupta]

Yes, the benefits of rebate / refund / export incentives are available on re-export of goods on which duty of customs has been paid at the time of Importation. For this purpose various options are available. If you have paid the duty, you are required to follow the procedures prescribed under section 74 read with rules and notifications for claiming refund of customs duty. If you wish to import under warehousing procedure, you are required to follow the procedure prescribed under section 57 to 73 of the Customs Act, 1962 read with relevant rules and notifications.

[Madhukar N Hiregange]

Yes there are a number of methods to do the same.

AI Summary

Refund of customs duty on re-export requires following prescribed procedural refund rules or using warehousing for duty-free export. Re-export of imported goods on which customs duty has been paid permits recovery of duty through rebate or refund mechanisms if the claimant complies with the prescribed statutory refund procedures, documentary requirements, rules and notifications. Alternatively, importation under the warehousing procedure allows admission of goods to warehouse and subsequent export without immediate duty payment, subject to the warehousing rules and related procedural conditions.