Cif value of imports

Hi All,

I have a query.

while calculating CIF value of imports , do i have to also include imports on Free of Cost basis.

freight and insurance on such FOC imports is booked as expense.

FOC imports is not shown as purchase.

Please help.
I am asking this question from Disclosure in notes as per revised sch VI point of view

And also if i have purchase cost + freight , then shuld i add 1% freight and ST of freight for value of CIF

Replies (1)

 

Dear Ankit,
 
if no foreign currency expenditure is involved, disclosure is not required even though the specific 
services have been imported so while calculating CIF value of Imports  the imports on Free of cost basis are not to be included. 
Yes you have to add Freight & ST for calculation of CIF value of imports.
 
Thanks & Regards
 
Amber Jain

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