Dear All,
We get garment export orders from outside of India on transferable LC and give the orders to a third party, who get the products ready and ship it outside India on their own. The shipping bills and other exports documents contain the name of the third party. In regard to the invoicing, the third party send us an invoice of say 800 dollars and we add 200 dollars in the invoice as mark up and send the new invoice totalling as 1000 dollars to the client outside India. In response to the same the client transfers the amount to our bank which transfers the part of the third party i.e. 800 dollars through a transferable LC and balance amount to us i.e. 200 dollars.
Now we wish to know whether we could apply for the refund for ITC and if so on what basis it should be claimed i.e. as export of goods or export of services.
CAclubindia
