Sale of Ex. goods w/o taken in to godown

[V K]

Dear Sir

we are having Dealer Ex Registration & IEC CODE in Delhi. Now we want to import some Equipment .Material will be coming at Mumbai Port..  we want to make the custom  clearance at Mumbai Port , as our buyer is also in mumbai.

Query is : as we have to pass on the CVD also to our buyer, can we raise the Ex bill w/o taking the material in our delhi godown ? is this is ok with the Excise rules?? Else the custom clearance will be at Mumbai Port & the material will come to delhi by road , we will make the RG23 Entry & after this we will raise the Excise bill & the material will again move to Mumbai ( to our buyer ) on our excise bill.( it will be costly as well as the time taking process )

 

pls guide.............

Regards

VIKAS KAPOOR

[email protected] 

AI Summary

CENVAT credit transfer limited unless goods sold from registered premises; consider high-seas sale to shift duty liability.
CENVAT credit cannot be passed to the buyer unless the goods are sold from the seller's registered premises or after inward RG23 entry; alternatively, a high-seas sale executed before arrival transfers ownership and duty liability to the buyer so the seller may avoid duty payment, but destination customs clearance raises local tax and VAT/CST compliance issues for the party clearing the goods.