FAQ’s
FAQ’s
How are exports be treated under GST?
All exports are deemed as inter-State supplies. Exports of goods and services are treated as zero rated supplies. The exporter has the option either to export under bond/Letter of Undertaking without payment of tax and claim refund of ITC or pay IGST by utilizing ITC or in cash at the time of export and claim refund of IGST paid.
What documents are required for international shipping?
Common documents required for international shipping include:
- Bill of Lading (BOL): A receipt and contract for the shipment.
- Commercial Invoice: A document detailing the goods, their value, and terms of sale.
- Packing List: Describes the contents of each package or shipment.
- Export Declaration: Required for some countries, notifying authorities of export details.
- Certificate of Origin: Certifies the country of origin of the goods.
- Insurance Certificates: Protects the goods in case of damage or loss.
How do I calculate international freight costs?
Freight costs are typically calculated based on:
- Weight: The weight of the cargo (volumetric or actual).
- Volume: Some shipping methods charge based on space taken up by the cargo.
- Distance: The length of the shipping route.
- Mode of Transport: Air freight is more expensive than ocean freight, for example.
- Additional Services: Customs clearance, insurance, packaging, etc
What is customs clearance?
Customs clearance is the process of ensuring that goods comply with the regulations and laws of the importing country. It involves submitting necessary documents, paying duties and taxes, and obtaining approval from customs authorities to allow goods to enter the country.
What happens if my goods are damaged during transit?
If your goods are damaged during transit, you should file a claim with the Airlines & Shipping Lines or the Insurance provider if you purchased cargo insurance. It’s essential to inspect the goods upon arrival and report damages immediately to ensure that your claim is processed promptly.
What are Incoterms, and why are they important in international freight forwarding?
Incoterms (International Commercial Terms) define the responsibilities of buyers and sellers in the shipment process, including who is responsible for transportation costs, risks, and insurance. They help avoid confusion and set clear expectations for both parties. Common Incoterms include FOB, CIF, and EXW.