Sme Chatroom

Chatroom: 'No GST rebate or exemption against supply of services to EOUs'

Section 16 of the CGST Act, 2017 allows you to take input tax credit of the input tax charged on any supply of goods or services, or both, subject to certain conditions

'In CIF/CFR contracts, the seller bears risk of variation in freight rates'

'As long as you expect to realise the CIF/CFR value of the goods and declare it correctly in your shipping bill/EDF, there is no violation under FEMA'

'DGFT should clarify duty payment for destruction of imported goods'

Practically, it is difficult to escape payment of customs duty and interest even when the goods are destroyed or re-exported

Chatroom: 'After imposition of moratorium, IBC prevails over Customs laws'

After initiation of CIRP, the liquidator can secure the imported goods from the Customs to be dealt with appropriately in terms of the IBC

SME Chatroom: 'Assessable value can be different from invoice value'

There is a specific box in the bill of entry for Free of Charge (FOC) imports

SME Chatroom: 'IGCR Rules apply only when exemption notifications say so'

the duty concessions are available under exemption notifications and some of them mandate the procedures prescribed under the said IGCR Rules.

'Supplies from DTA to SEZ attract export duty'

Duty credit allowed under the RoDTEP scheme is subject to realisation of sale proceeds within the period allowed by the RBI

SME Chatroom: Banks can write off import entry in IDPMS over quality issues

RBI rules allow AD Category-1 banks to close BoE for such import transactions where write-off is due to short shipment or destruction of goods by port/Customs/health authorities

'Unconfirmed LC binds only the issuing bank to pay'

In a freely negotiable LC, any bank can negotiate the LC compliant documents, pay the party and claim reimbursement in accordance with the instructions of the LC issuing bank.

SME: 'Due date of sight bill should be counted from date of presentation'

What a firm seeking supplies from abroad on credit should do in case there is an error in the contractual documents

SME: 'Ad hoc norms valid for 3 yrs or till March 31, whichever is later'

So, the norms approved in 2017 will be valid till 31.03.2022 and the norms approved in 2020 will be valid for three years from the date of approval

SME Chatroom: Anti-dumping duty can be levied with retrospective effect

Most countries have aligned their tariffs at the six-digit level.

SME Chatroom: HS Code error in bill of entry can be amended after clearance

Here's how to claim a refund of the excess duty paid

SME Chatroom: No interest liability due on retrospective amendment

However, it would help all persons concerned if the CBIC issues a clarification in this regard

SME Chatroom: FTP allows exports through third party

Para 9.60 of FTP says that "third-party exports" means exports made by an exporter or manufacturer on behalf of another exporter

SME CHATROOM: Third-party payment allowed for imports subject to conditions

Notification No. 66/2017 exempts all suppliers of goods who have not opted for composition scheme, from payment of GST on advances received

SME Chatroom: Import of Covid-19 vaccine will attract Integrated GST

The notification no.28/2021-Cus dated April 24, 2021 does not exempt IGST leviable on medical goods

'FTP benefits are available against settlement of claims by ECGC'

Expert answers readers' SME queries related to excise, VAT and exim policy

Temporary or permanent transfer of intellectual property attracts 12% GST

Appendix-5C of the HBP also requires the Chartered Accountant to clearly certify that the exporter has submitted e-BRC and the same have been verified

Banks can consider extending time limit for settling import dues: Expert

Weekly advice on managing small businesses. This time SME chatroom talks about a RBI directive on import of goods and services.