BRC for third party payment
This query is : Resolved
12 April 2023
If i am the exporter but payment is made directly to a third person who delivered goods to me in India for export, how will I get BRC for the same?
06 July 2024
If you are the exporter but the payment for the exported goods is made directly to a third party who delivered the goods to you in India, you will need to follow these steps to obtain the Bank Realisation Certificate (BRC) for the export transaction:
1. **Documentary Requirements:**
- Ensure that you have all necessary export documents in order, including the Shipping Bill, Invoice, Export Contract, and any other relevant export documentation.
2. **Communication with the Third Party:**
- Contact the third party who received the payment and explain the requirement to obtain a BRC for the export transaction.
- Request the third party to provide you with the necessary documentation or information that proves the export proceeds were received and remitted back to India.
3. **Verification and Confirmation:**
- Verify with the third party and obtain confirmation or documentation (such as a payment receipt, bank statement, or declaration) that shows the export proceeds were indeed received and remitted to India.
4. **Submission to Authorized Dealer Bank:**
- Submit the verified documentation and information to your Authorized Dealer Bank (e.g., ICICI Bank, as per your previous context) where you maintain your export transaction account.
- Explain the situation clearly to the bank and provide them with all required documents for processing the BRC.
5. **Processing of BRC:**
- The Authorized Dealer Bank will review the documents and information provided.
- They will process the BRC based on the verification that export proceeds have been received in India in accordance with RBI regulations.
6. **Follow-up and Compliance:**
- Follow up with the bank to ensure timely processing of the BRC.
- Maintain compliance with all regulatory requirements and provide any additional information or documentation as requested by the bank or regulatory authorities.
### Important Notes:
- **Documentation:** Ensure all documents are accurate, complete, and compliant with export regulations.
- **Communication:** Clear and timely communication with both the third party and your bank is crucial for smooth processing of the BRC.
- **Regulatory Compliance:** Adhere to RBI guidelines and regulations throughout the process to avoid delays or compliance issues.
By following these steps and maintaining clear communication with all parties involved, you should be able to obtain the necessary BRC for the export transaction where payment was made directly to a third party.
1. **Documentary Requirements:**
- Ensure that you have all necessary export documents in order, including the Shipping Bill, Invoice, Export Contract, and any other relevant export documentation.
2. **Communication with the Third Party:**
- Contact the third party who received the payment and explain the requirement to obtain a BRC for the export transaction.
- Request the third party to provide you with the necessary documentation or information that proves the export proceeds were received and remitted back to India.
3. **Verification and Confirmation:**
- Verify with the third party and obtain confirmation or documentation (such as a payment receipt, bank statement, or declaration) that shows the export proceeds were indeed received and remitted to India.
4. **Submission to Authorized Dealer Bank:**
- Submit the verified documentation and information to your Authorized Dealer Bank (e.g., ICICI Bank, as per your previous context) where you maintain your export transaction account.
- Explain the situation clearly to the bank and provide them with all required documents for processing the BRC.
5. **Processing of BRC:**
- The Authorized Dealer Bank will review the documents and information provided.
- They will process the BRC based on the verification that export proceeds have been received in India in accordance with RBI regulations.
6. **Follow-up and Compliance:**
- Follow up with the bank to ensure timely processing of the BRC.
- Maintain compliance with all regulatory requirements and provide any additional information or documentation as requested by the bank or regulatory authorities.
### Important Notes:
- **Documentation:** Ensure all documents are accurate, complete, and compliant with export regulations.
- **Communication:** Clear and timely communication with both the third party and your bank is crucial for smooth processing of the BRC.
- **Regulatory Compliance:** Adhere to RBI guidelines and regulations throughout the process to avoid delays or compliance issues.
By following these steps and maintaining clear communication with all parties involved, you should be able to obtain the necessary BRC for the export transaction where payment was made directly to a third party.
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