TaxTMI 
TaxTMI 
Import of Gold by (i) Export Oriented Units (EOUs), (ii) Units in SEZ/EPZ, and (iii) Nominated Agencies
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....rs (ADs) is also invited to A.P. (DIR Series) Circular No. 25 dated October 1, 2003 in which ADs were advised that Letter of Credit (LC) for import ofgold under the Nominated Agency Scheme must be established on behalf of the Nominated Agencies themselves and under no circumstances should the LC be issued on behalf of any other entity, even if a letter of authority issued by the Nominated Agency is furnished by these entities. 3. The Ministry of Commerce & Industry has since clarified that as per para 6.2 (b) of the EXIM Policy 2002-2007, Export Oriented Units (EOUs) in the Gem & Jewellery sector, are permitted to import gold directly. These units can also source gold through the existing nominated agencies, in terms of para 6.2 (g) of the....
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....ss and the net worth of the importer customer should be commensurate with the volume of business turnover. Apart from the above, in case of such transactions banks should also make discreet enquiries from other banks to assess the actual position. Further, in order to establish audit trail of import/export transactions, all documents pertaining to such transactions must be preserved for at least five years. ADs should follow up submission of the Bill of Entry by the importers as instructed in our A.P.(DIR Series) Circular No.9, dated August 18, 2003. Head Offices/IBDs, of ADs undertaking gold import transactions are required to submit a monthly statement thereof, as per the format enclosed in the Annex, to the Trade Division, Foreign Ex....
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.... provided in cases where the number of transactions in respect of a single importer exceeds ten transactions in a month or the aggregate value of imports exceeds US Dollar 50 million. 2. Details of EOUs/Units in SEZ and Nominated Agencies should be given separately. Enclosed to [A.P.(DIR Series) Circular No.2 dated July 9, 2004] A.D.(G.P. Series) Circular No.7 March 6, 1998 All Authorised Dealers in Foreign Exchange Dear Sirs, Import of Gold by Nominated Banks/Agencies 1. Under the liberalised policy for import, Government of India has permitted import of gold by certain nominated agencies viz. MMTC, HHEC, STC, SBI and other agencies authorised by Reserve Bank for sale to jewellery manufacturers, exporters, NRIs, holders of S....