December 10, 2020

High Seas Agreement India

Filed under: Uncategorized — dpk3000 @ 12:41 am

For example, in Mumbai, A buys goods from U.S. lender B. The goods are exported from the United States and when the goods are in transit, A enters into a contract with C of Nagpur and sells these goods to C before the goods cross India`s customs border. The sale of goods from A from Mumbai to C from Nagpur, while they are passing through, is called sale on the high seas. In accordance with Section 7, paragraph 2 of the IGST Act, the delivery of goods in connection with the importation into India`s territory until the crossing of India`s customs borders is considered a delivery within the framework of intergovernmental trade. Therefore, GST would apply to the transaction. However, the timing of the GST investigation would be different for offshore sales. There is no bar for the same goods sold more than once on the high seas. The same shipment of goods in transit can be sold several times before these goods cross the customs border and enter the territory of India. The information provided here is part of the High Sea Sales online export import course – procedures and formalities in India. Let`s learn about this article – the procedures for selling on the high seas with a simple example below.

“A,” a foreign seller delivers goods to “B” to a foreign buyer. At the end of the necessary export procedures, A sends the seller all the necessary documents to his bank. “B” includes a purchase agreement with C under sale on the high seas, once after cashing goods from the exporter`s territorial border, but before the arrival of the goods at the territorial border of India. B accepts documents from his bank that A sent through his bank. If the terms of payment with A and B are on view LC or DP, B returns the invoiced value of the goods to A before the documents are collected by the bank. In the case of credit agreements with A, B restores the book value of the goods to A based on the agreed credit period. The car letter (or airway calculation) is approved by B and transfers the title to C.B presents the C bill in national currency (INR). B provides the registration (or theft) invoice, its invoice in local currency, accompanied by an import invoice, an import list, a certificate of origin, an insurance certificate and other documents necessary, if any, for the duly validated import authorization. A keeps a copy of all documents it has delivered to C.C exchange of letters with other A import documents with customs authorities. C pays import tariffs, if applicable, import duties.

B may also take customs clearance and delivery to C if B does not want to know the actual contractual price of A and B. In this case, B files documents in C`s name to conceal the sale price between A and B. At the end of the customs clearance procedure, C delivers a copy of the entry slip to B.B the invoice for entry in question and other copies of the import documents and sales documents on the high seas are given to his bank. You can click here to read other articles on High Sea Sales: Important Documents Required in High Sea Sales, How to conceal the value of the original contract invoice in high seas sales transactions, Can one sell on the high seas under air cargo?, Can it be sold on the high seas more than twice?, Does VAT apply on shipments made under sales on the high seas? How do I check the duration of the contract for high-seas sales transactions? Documentation procedure for sale on the high seas. Yes, I am sure that once you have passed these items, you will have a good knowledge of high seas sales in international business. Want to learn more about this topic – High Sea Sales? Write below about your experiences and thoughts on High Sea Sales. Review below on High Sea Sales. ]]> The above information is part of the online import price Other post on import-export cauching How to hide the book value of the initial contract under the sales transactions on the high seas Can sale at sea possible at sea under air transportIs tax on turnover applicable on shipments under sales on the high seasLike check the period of the contract on the transactio