Export Credit note not Accepted by Bank
This query is : Resolved
11 October 2021
Dear Sir,
Our Firm is in Manufacturing industries and also Do Export Overseas.
As per Export Rules, we have to submit Documents to Bank after Export within 21 days.
One of Our Export customer has return full value of goods citing inferior quality.
Now my querry is, we had 5 Export Transaction with that Customer amounting to 6000 usd of which they had paid us for 4 Invoice amount. Now when we submit documents at Bank then Bank does not Considered Credit Note of rejected materials stating that it exceeds 10% of amount realised.
Does bank reject the Credit note if it Exceeds 10% of Invoice Value.
Plz Provide some valid reasons in case of Rejection of Export Material and Credit Note that need to be submitted to Bank for Closing Export Transaction.
Our Firm is in Manufacturing industries and also Do Export Overseas.
As per Export Rules, we have to submit Documents to Bank after Export within 21 days.
One of Our Export customer has return full value of goods citing inferior quality.
Now my querry is, we had 5 Export Transaction with that Customer amounting to 6000 usd of which they had paid us for 4 Invoice amount. Now when we submit documents at Bank then Bank does not Considered Credit Note of rejected materials stating that it exceeds 10% of amount realised.
Does bank reject the Credit note if it Exceeds 10% of Invoice Value.
Plz Provide some valid reasons in case of Rejection of Export Material and Credit Note that need to be submitted to Bank for Closing Export Transaction.
12 October 2021
Credit note in such a case can be accepted by banks.
10% limit is for write off of export debts.
10% limit is for write off of export debts.
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