“Write-off” of unrealized export bills – Export of Goods and Services – Simplification of procedure

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....bruary 28, 2007 and July 22, 2010 respectively in terms of which the exporters were given limited powers of write-off and also AD Category - I banks have been permitted to accede to the requests for "write-off" made by the exporters, subject to the conditions, inter alia, that the exporter had to surrender proportionate export incentives, if availed of, in respect of the relative shipments. 2. With a view to further simplifying and liberalizing the procedure and for providing greater flexibility to all exporters as well as the Authorized Dealer banks, the earlier instructions have been reviewed. It has now been decided to effect, subject to the stipulations regarding surrender of incentives prior to"write-off" adduced in the A.P. (DIR Se....

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....ettled through the intervention of the Indian Embassy, Foreign Chamber of Commerce or similar Organization; (v)The unrealized amount represents the undrawn balance of an export bill (not exceeding 10% of the invoice value) remaining outstanding and turned out to be unrealizable despite all efforts made by the exporter; (vi) The cost of resorting to legal action would be disproportionate to the unrealized amount of the export bill or where the exporter even after winning the Court case against the overseas buyer could not execute the Court decree due to reasons beyond his control; (vii) Bills were drawn for the difference between the letter of credit value and actual export value or between the provisional and the actual freight cha....