Import into India

[Anil Gagneja]

One of our overseas customer interested to sell goods manufactured by us for export. Now, they are expecting to get the order from india for those goods manufactured by us. 

Please advise which route of sales is better via USA or India and govt regulation.

If the goods are sell thru us with india. how we transfer the margin to the overseas customer and tax liability on that amount.

 

[YAGAY andSUN]

Your query is not clear.  Please come out with more clarifications or with an example.

[Anil Gagneja]

We are exporting goods to our overseas customer at USA. Now, he get the order from India. He wants to sales the goods in India. He have two options. Either he send the goods thru USA or from India (from us).

which of the place is more economical.

If he opted for the sale of goods from India, how he will get the margin from India (counterpart).

Please advise us the indirect tax liability such excise duty, service tax, TDS and any other govt. liability.arises.

AI Summary

Cross-border sales routing affects tax and compliance when an overseas principal's goods are sold into India and margins are remitted. Choice of sales routing-sale routed via the overseas principal's country or effected in India through the Indian supplier-determines which regulatory and tax regimes apply. Key operative concerns are the mechanism for remitting the overseas principal's margin from India, the tax characterisation of that remittance, and the potential applicability of withholding tax, excise duty, service tax, and other governmental levies and compliance obligations.