Hi all,
Need your suggestions in one of the cases.... Letter of credit is silent on incoterms.. Invoice shows the goods value plus other packing charges and Vat... Can Vat charges be claimed...
Scenario 2: if LC shows a trade term for example CFR.. Can vat be still claimed, as incoterms do not speak about vat charges.. Kindly give your feedback.
Letter Of Credit Is Silent On Incoterms
-
nrprakashreddy
- Posts: 10
- Joined: Tue Jun 25, 2013 12:33 pm
- First Name: RAVI PRAKASH
- Last Name: REDDY
- Organization: AXIS BANK
- Filter: Two Plus Two =: 4
- Location: INDIA
-
Navi
- Posts: 362
- Joined: Mon Jun 23, 2008 4:17 pm
- First Name: Olcay
- Last Name: Özcan
- Organization: Bank
- Filter: Two Plus Two =: 4
- Location: Turkey
VAT beyond incoterms
Hi friend,
.
In my opinion VAT is a local tax and beyond concern of INCOTERMS.
Charges such as VAT, packing charges, documentation, licence etc must be included in the price of goods, unless otherwise stated in the credit. Therefore, the wording of the description of goods in the LC is important.
Other comments appreciated
.
In my opinion VAT is a local tax and beyond concern of INCOTERMS.
Charges such as VAT, packing charges, documentation, licence etc must be included in the price of goods, unless otherwise stated in the credit. Therefore, the wording of the description of goods in the LC is important.
Other comments appreciated