Re-export under Section 74

[Rahul Sonawane]

Dear Sir,

In our case we have imported finished goods for sale in indian market, but now due to some technical reasons

we have decided to re-export the goods , to the country other than the country of import, let me know whether we can get the duty drawback under section 74 in this case.

Regards,

Rahul Sonawane

[YAGAY and SUN]

Dear Rahul,

Under Section 74 of Customs Act,  it is very much allowed to export the imported goods to another country other than the from the import was initiated.

Duty Drawback under Section 74 will be granted up-to the limit of 98% of the duty paid.  Further, Goods must be in its original packaging. Onus will be on you to prove the identity of the goods to the Customs Department. A rate slab of duty drawback is also associated with the lapsed time.

Board's permission is required to export the goods, if you are not able to export within 2 year from the date of import.

Best Regards,

Pradeep Khatri

 

[Sainath Forwarder]

Dear Sir,

kindly forward us any notification for the same as we are also facing the same problem and we couldnot find any notification in which they have stated that the importer can export to third party . 

Awaintg your earlest reversal.........

[YAGAY and SUN]

Please refer page no. 1.37 (pink pages) of the R.K.Jain's Customs Law Manual 46th addition 2012-13 in this regard.

AI Summary

Re-export of imported goods allowed; duty drawback may be available but identity proof and delayed-export permission required. Re-export of imported finished goods to a third country is permitted and may attract duty drawback subject to time-linked rate slabs. Goods must be in original packaging and the exporter bears the onus of proving identity to Customs. If export is not completed within two years of import, Board permission is required prior to re-export.