Fema

This query is : Resolved

rahul (Querist)
Follow

11 December 2013 dear all ...I have to make payment to outside India to a particular supplier $20000 and also I entitled to received $5000 to same person.... so my query is can I neting off whole transaction and received only $15000 ....but one of the my frd said as per RBI I can't netting off ....pls solve this query....

C.A. Mayur J. Raiyani

C.A. Mayur J. Raiyani (Expert)
Follow

12 December 2013 You can nett off the pymt. But you should have some instrument (like bill copy) of $ 5000 indicating amount obliged by you while filling 15CA/CB certificate with bank.

P V Ram

P V Ram (Expert)
Follow

13 December 2013 As per normal circumstances, what your friend said is correct. Netting is not permitted in India.
However as a special case, to clear the Bill of Entry with banker, you need to tell him that you received a credit note from your supplier for $5000 for reason whatsoever it may be and ensure that the BOE is cleared for full value of $20,000 eventhough you pay $15,000 only

Thanks

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now