GST on imports and exports GST is not charged on international transactions as they are considered as exports or imports. GST is only applicable on goods and services that are supplied within the country, i.e. domestic transactions. For exports, the taxes applicable in the country of import are applicable, and for imports, the taxes applicable… Read More »
The definition of Invoice financing Invoice financing also known as invoice discounting, is a form of short-term financing in which a company sells its accounts receivable (invoices) to a financial institution, such as a bank or a non-banking financial company (NBFC), at a discount. The financial institution advances a percentage of the invoice value to… Read More »
Process for charging GST Process for charging GST, If a local supplier in India purchases goods or services from an international supplier, the local supplier would be require to pay the Integrated Goods and Services Tax (IGST) on the import of goods or services, and the local supplier can claim the credit of such IGST… Read More »
Non-negotiable letter of credit A non-negotiable letter of credit is a financial instrument used in international trade to provide payment security for the seller or exporter. Unlike a negotiable letter of credit, which can be bought and sold on the secondary market, It cannot be transferred to a third party. It is only valid between… Read More »