Firc & filing limit

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Johny (Querist)
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09 January 2013 Hello experts & fellow members,

I started a small size BPO last year Jan 2012 and started receiving USD from my client in US. As I was new I never knew about getting FIRC from bank and submitting it to RBI.

Only 4 month back my Company secretary told me that I should get FIRC for each foreign transaction & submit to RBI. When I was informed I asked my bank to provide me the FIRC & still I havent got it. I have been walking in & also submitted a written request but my banker isnt taking any initiative.

Now people scare me telling me that if FIRC isnt submitted to RBI within 180 days then I have to refund all the money I got as invoie and some confuse me that only if the revenue is more than a lakh (Rs1,00, 000) I have to submit FIRC.

Now my questions are....
1. Is that true for all remittance from client abroad, I should get FIRC or payment above Rs1, 00, 000 ?
2. If 180 days is time limit, should I refund or do I have any other means to submit?
3. What to do with banker who isnt taking things seriously and provide me the FIRC, can I file a case against them, because I can't refund fund I received, I run a smal process with revenue of $1000 which is Rs.50000 plus and calculating it for a year the money is huge for me to refund and also scared with exhange loss....

Please clear my doubts...

V K Bajaj

V K Bajaj (Expert)
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10 January 2013 Mr Johny

You have to get FIRC for all the amounts received in foreign exchange.

To get the FIRC you have to deliver photocopy of your IEC, relevant Invoice duly authenticated by STPI. On receipt of these document and Form filled up your bank will initiate to issue FIRC. Bank will not issue FIRC at his own and without getting the documents.

Seems you do not have IEC (Import Export Code/Licence) and still to get it.

contact@vkbajaj.co.in

Johny

Johny (Querist)
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10 January 2013 No we havent got IEC Code yet, is it mandatory to get IEC when we do service export and are there any other licenses which we have to get to continue doing this business?

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