what is custom duty,its rate and on which items it is applicable

Case details:
There is an US company (X) with a big brand like Adidas which gets its products manufactured in India from many licensed manufacturers (Y1, Y2) for itself. This company (X) is introducing its products in India now and for that they will appoint one Master Distributor (Z) in India. Z is not a sister concern of X, Y1 or Y2 in any manner. Z is an independent Indian Company.
Z will sell products of X in India by various retail formats. Z will pay to X 20% over and above the purchase price ( i.e. FOB+ Margin of 20%) paid by X to Y1/Y2 after the sales are effected in India.

US Co. (X) wants to purchase goods from (Y1, Y2) for India as well and wants these goods to be sent directly to Z for further sale as Y1, Y2 and Z are all in India. X will raise a Purchase Order to Y1/Y2 of USD 1000 to make goods. After the goods are manufactured Y1/Y2 will send the goods to Z and X will pay USD 1000 to Y1/Y2. Z will receive these goods on behalf of X in India from Y1/Y2 and will sell these goods in India at USD 1500. As per agreement, Z will remit USD 1200 to X now (USD 1000 plus 20%). Remaining USD 300 is Z’s share. Y1/Y2 will prepare the sale invoice in the name of X and X will prepare the sale invoice in the name of Z. All prices are at arm’s length.Y1/Y2 manufacture goods for other companies and brands also. Z sells products of X only.

Questions:
1. Will the sales made by Y1/Y2 qualify as export sales from India?
2. Will the purchase by Z from X be considered as imports into India?
3. Is it possible that Y1/Y2 get export benefits but purchases by Z do not come under imports?
4. What will be the tax implications on Y1/Y2 and Z?

I have a few little problems please solve out as followings:
a) What is the CIF and FOB value.
b) A person who bears the expenses are related to Import Purchase.
c) If import invoice of 1000 USD. The custom has mentioned 1000 USD in the bill of entry,50 USD for freigt and 10 USD for insurance. The exchange rate of indian currancy is Rs. 45/- per dollar. What entries are recorded by the importer and how much pay to supplier.
d) I want to set up a newly business to distribution of imported wines in Delhi. I am paying custom duty as well as Special Additional Duty(SAD@4%) and when I take order to supply then charge 20% vat on. Tell me can i take duty drawback from the custom which paid by me @4% in form of SAD.

I am repeating here under few provisions of Finance Act, 1994 and other statutes as under :-

Sec. 65 of the Finance Act, 1994 (Relevant to Servicetax) reads as under :-

65. In this chapter, unless the context otherwise requires,-

(12) ”banking and other financial services” means –

(a) the following services provided by a banking company or a financial institution including a non-banking financial company or any other body corporate or (Up to 31.05.2007) any other person , namely :-
(i) financial leasing services ………………………and so on …………

(14) “ body corporate” has the meaning assigned to it in clause (7) of Section 2 of the Companies Act, 1956.

(12)(105) “taxable service” means any service provided or to be provided –

(zm) to a customer / to any person (now) by a banking company or a financial institution including a non-banking financial company or any other body corporate or (up to 30.04.2006) commercial concern / (Up to 31.05.2007) any other person / (after 31.05.2007) commercial concern, in relation to banking and other financial services.

Sec 2(7) of the Companies Act- “body corporate” includes a company incorporated outside India but does not include –
(a) corporate sole;
(b) a co-operative society registered under any law relating to co-operative societies and
(c) any other body corporate (not being a banking company………..)

Query - On the basis of above definitions, (1) Whether a co-operative bank (co-operative society) is out of definition of body corporate and the co-operative society is exempted from service tax being a body corporate so far as banking services are concerned by exclusion through definition or
(2) Is it covered by terms ‘any other person’ or ‘commercial concern’ and liable for service tax..

Dear Experts,

Can I have format/form no. of warehousing bond for removal of goods from port to bonded warehouse.

Regards,

SL Naik
naikshyam@gmail.com

sir
we are import some raw material
when this material arrive at port on those day its not possibal to clear custom on the spot dut to financial problem,
now we are thinkig that if we are clear this material under bond from custom and storage in private warehouse which is situated in our factory primise. when we required this material we are clear custome duty and got it to use our manufacturig process.
sir pl inform me that is it possible ?
if yes than how ?
pl can u give me a complete process of private warehouse and how to custome clearance ?
Regards
joshi

SIR,

AN EXPORTER GAINED THE VKGUY LICENCE FOR DUTY CREDIT RS. 4413902.00
BENEFIT RATE AS PER APPENDIX -37 D IS 7% ON EXPORTED PRODUCTS (94036000) WHAT IS THE FOB VALUE?

Dear Experts

Can anyone explain the concept of SVB.

I know in draw back a Assessee get the rebate of duty what he paid as per the draw back rate. Can we Export without declaration of Excise drawback to the D.C. or A.C. of Central Excise.? Or in custom draw back declaration is it necessary to reverse the Excise duty which we have paid at the time of Import or Purchase.? Suppose a manufacturer/Exporter Export a material in custom draw back but by mistake he reverse the cenvat credit. What will be the step to take on it?.

For filing application for duty drawback claim time limit is 3 months and further 3mths may be condoned by AC. whether any fees has to be paid the CE office for the condonation. pl clarify me

Thank U