First you have to produce evidence of import to your bank that particular transaction is related to import purchase,second, you need not to use any form before your bank for amount not exceeding USD500 is used towards import payment. I think most of transaction through post are covered in the above range.
Evidence of import is must in case foreign remittance is more than USD 100,000 or its equivalent.
In case of EXPORT, no GR or PP declaration is required for amount not exceeding USD 25,000 or its equivalent. Export of goods not involving any involving any foreign remittance directly or indirectly, requires waiver of GR/PP procedure from Reserve Bank of India.The Export of goods by way of Gift is permissible up to five lakhs per year.
Hence you should be in touch with your bank and visit RBI websites and if you feel you can contact me for discussion.
Happy buying and selling on Internet
Wednesday, September 12, 2007
Payment through your International card for purchasing goods from foreign seller is better option
As Per RBI , there is no documents insisted by the Banks if the foreign remittance is less than US $250 or equivalent for bonafide case.Most of online purchase falls under this range only.
Further, there is no monetary limit for using International credit card(ICC).
Regarding payment in Indian rupees for import made by a person is accepted through ICC by any authorised bank. There is restriction to use ICC for prohibited transactions. A ready reference list for additinal use is produced below(source is RBI WEBSITE):
(a) Import of software through Internet.
(b) Fees for training or education of scientific/technical nature through Internet.
(c) Registration of Internet domain name, hosting charges for websites/home pages overseas and access fees for Internet related services through website .
(d) Advance payment not exceeding U.S.$ 15,000 for import of software/database through internet may also be allowed .The cardholder should furnish the details of software/database obtained through the Internet, charges to be paid to the overseas organisation for downloading the software/data and a declaration having received the software/data for which the payment was made through ICC .
There are many digital goods like Music,which can be bought through internet, but,no specific guidelines by the RBI.It seems that general rules related to foreign remittance will apply.
Further, there is no monetary limit for using International credit card(ICC).
Regarding payment in Indian rupees for import made by a person is accepted through ICC by any authorised bank. There is restriction to use ICC for prohibited transactions. A ready reference list for additinal use is produced below(source is RBI WEBSITE):
(a) Import of software through Internet.
(b) Fees for training or education of scientific/technical nature through Internet.
(c) Registration of Internet domain name, hosting charges for websites/home pages overseas and access fees for Internet related services through website .
(d) Advance payment not exceeding U.S.$ 15,000 for import of software/database through internet may also be allowed .The cardholder should furnish the details of software/database obtained through the Internet, charges to be paid to the overseas organisation for downloading the software/data and a declaration having received the software/data for which the payment was made through ICC .
There are many digital goods like Music,which can be bought through internet, but,no specific guidelines by the RBI.It seems that general rules related to foreign remittance will apply.
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