Accounting entry of import goods

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Dear sir/ madam ,

We are import tiles and furniture (capital equipment ) form china, We are  recently in the busines  of hotel incorporated  of company act 1956.

we paid 100 % advance payment to    preethi implex (hk) limited. after that we recived bill of entry and commercial  invoice in favour of  FORSHAN CITY DONGSHENG CO LTD  from our agent  Chennai. we are having  VAT REGISTRATION , SERVICE TAX REGISTRATIO YET TO BE REGISTERED

1. in our books   entry passed for  payment  t o  preethi implex (hk ) limited

2.what is the meaning of   FORM  KK 

3.  How to pass jv  in Bill of entry            420 US DOLLARS   TOI  CIF   1.00 USD   = 65.7500

                                                                                                          10.00  %        1998.90 

        46485.25                                                                                  12.50   %        6015.60

                                                                                                         2.00     %                  160.30

                                                                                                         1.000 %                      80.10 

                                                                                                TOTAL                             8254.90

           46485.25                                                                                     BE GROSS TOTAL       8254.90

              1998.90                                                                                      NCD  DUTY                   0.000

               6015.60                                                                                   SAFE GUARD  DUTY    0.000

                                                                                                 CUSTOMS  DUTY CES   160.30

                                                                                                 SH  CUSTOM  EDU. CESS  80.10

                                                                                                       TOTAL                             8255

 

pl  help me  

my e mail  id  :  prasadraju.suraparaju @ gmail.com

                              9618261448

 

 

 

Replies (6)
Entry would be:
Capital a/c Dr. (sum total of the following):
  1. CIF value $420 x 65.75
  2. BCD @ 10%
  3. CVD @ 12.5% (provided you are not availing cenvat credit on the same, if availing CCR, then this should not be added to the capital a/c instead to the CCR input a/c)
  4. 3% EC & SHEC
To FORSHAN CITY DONGSHENG CO LTD
 

thanks madam

dear madam,

we paid 100 % advance payment to M/s Preethi implex pvt.ltd

accounting entry in our books debit to m/s preethi implex pvt.ltd

now how to nullify this account. journal entry credit  to FORSHAN CITY DONGSHENG CO LTD.

please  help me madam

thanks

s.prasad raju

prasadraju.suraparaju @ gmail.com
9618261448

 

For that, make another journal entry (provided you have supporting in respect of this entry):

FORSHAN CITY DONGSHENG CO LTD Dr
To Preethi implex pvt.ltd

thanks madam

s.prasad raju

s.prasad raju prasadraju.suraparaju @ gmail.com

9618261448

 

The purchase rate should be the RBI exchange rate on which adv payment made and not the Customs duty Exc rate, as per BOE.

What is the basis for taking RBI rate ? Why can't we use SBI rate which is more near to actual rate ?

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