Receiving Payments from International Buyers,Please HELP URGENT ?:|

[shree_krishna_gems]

Hello,
Can anyone please tell me if PAYPAL IS LEGAL?

I mean when we do export from Post Office they ask for FIRC/PP FORM.

But while getting payment via PAYPAL we do not get any such certificate.

I want to start international Selling and want to ship items through EMS.

Can please kindly tell me how to do export and how to clear the problem of proof of receiving payment( i.e. FIRC/PP Form).

Your help is highly appreciated and I hope I will get details guidelines.

I have IEC Code already.

Thanks in advance for your help.

eBay Please reply me please please please.....

Regards,
Deep Agarwal.
Shree Krishna Gems

[amitava123gems]

Dear indconcepts and Deepji,
My late dad, late maternal uncle and my dear late sister were reserve bank employees. My brother ,who is 5 years younger to me is still in RBI.
The old system of LC and all are matters of past. RBI does not handle those anymore. If it is export, you are allowed great freedoms. This I have known from discussions with DGFT officials and customs officials.
In fact, I meet exporters, big and small, almost everyday. Nobody will ask you where the money is coming from.
It may be eBay.in. It may be bank draft. It may be bank transfer. Whatever it is. The emphasis is to export anyways.
Only customs will block export if they feel it violates law of the receipient country.
I think,you are concerned about dollar a/c. Never dream anything like that. Swarup had a nightmare like experience.
I have told what I know from experience.
But, I repeat, many legal pple will try to give you free misleading knowledge.
Please just remember, these laws are changing day to day. So,Your work place is the best school to learn such things.
Other exporters will help you. Try it. No problem.
Thanx,
Truly,
Amitava

[indconcepts]

Dear Amitava,

Great to know that your younger brother is in RBI.
He can be of great help on these matters.

But Amitava .... the freedom for exports you have mentioned is not there. Foreign currency laws are very strict.

If not followed a person can be heavily penalised or even arrested for major violations.

Government doesn't allow you to export all the resources without getting foreign currency into INDIA.

For every Item exported, you have to give proof that you have received the Foreign currency in a stipulated time frame. Proper documents are required to be submitted to the RBI (through the authorised dealer / bank).

One can freely send an Item abroad if it's a GIFT.
No documentations or IEC or any payment proof is required.
The linmit for sending such GIFTS was Rs.1 lakh but I think it has been increased now.

But if you export Item worth even ONE RUPEE with commercial value attached to it then you need to have an IEC code. Also, for every commercial shippment exported you have to inform RBI about the payment received.

If the payments are received in advance then also one has to inform RBI that the Items have been shipped against the said payments.

Amitava, you also export gemstones by receiving payments through PAISAPAY. Paiapay receives foreign currency on your behalf and gives you money in Indian rupees. PaisaPay never issues you any inward remittance certificate.

Since your brother is in RBI .... he would be the best guide on this matter.

I don't why ebay is not clearing this issue.

ebay has all the resources to find the truth and guide Sellers to the right track.

best regards

Uman Midha .

[shree_krishna_gems]

Dear Amitavaji and Umanji,

One thing is sure that eBay will not give any proper reply to this issue as eBay know that it is fault on their part not to issue FIRC to the sellers, who receieves foreign payment through Paisapay.

When any seller do export,FIRC is essential and must.
Without it no seller can do export.

We seller want to go the legal way and so request Paisapay to kindly provide us the FIRC for the foreign payment.


I hope eBay will provide us the direct answer.



Best Regards,
Deep Agarwal.
Shree Krishna Gems

[amitava123gems]

Hi indconcepts,
One year back, I used to cry literally for the obstacles these guys will put up all the time. They will just make me run from one office to the other. But with time, I have learnt to tackle the rules. Nobody will penalise or arrest me. Because I follow the rules to everybody's advantage.

Thousands of years ago a wise man said that an intelligent camel can pass through the eye of a needle. I sincerely believe he was correct.

What ebay is doing is absolutely correct and good in law.
PaisaPay should function like PayPal does.
It should be an independent body like PayPal and pple should be able to add PaisaPay button to their own private web sites.
Thanx,
Truly,
Amitava

[indconcepts]

Hello Amitava,

The Question here is not to learn the art of passing the Camel through the eye of the needle.

The question of discussion here is .....

Why PAISAPAY is not issuing FIRC against foreign currency received on Seller's behalf?

I hope you will be of help on this discussion which would benefit a lot of Community members. Experienced members are just not here to earn money but also have some responsibility towards the Community. .


best regards

Umang Midha

[amitava123gems]

Hi Umang dear,
You are an encyclopaedia Britanica. Do tell me what this FIRC is.
What in practice I see is my accountant says okay, income tax and customs says okay,if I complain to the Director of GPO ,that official will give me letter and call me over mobile personally.
Even DGFT says they will give certain benefits.
I am absolutey ignorant about that firc business.
Do tell me. I shall try to find out.
Dont think there is too much problem. We can sort that out.
Thanx,
Truly,
Amitava

[indconcepts]

Dear Amitava,

Thanks for the reply.

I am not a Encyclopaedia Britanica but searching for the truth.

Many Sellers are selling Internationally through PaisaPay but how they are doing it legally .... am not aware.

But I am quite confident that 90% of the Sellers are going against the law.

Goods being shipped out of the Country as .... GIFTS .... for which payments have been received through PaisaPay.

Your Accountant says OK .... because you are maintaining the account books properly.

Your Income Tax Advocate says OK .... because you are not hiding your Income.

Customs says OK .... because you might be sending the Items marked as "NO COMMERCIAL VALUE".

Amitava, are you attaching a copy of Import-Export certificate (IEC) and also filling PP Form while sending Items through India Post?

I am sure you must be aware of PP Form which is the basic requirement when you send a commercial consigment through India Post.

Amitava you have asked about FIRC .... it's .....

Foreign Inward Remittance Certificate (FIRC) evidencing receipt of funds from abroad.

I will be waiting for your reply on the above question marked in bold. .


best regards

Umang Midha

[shree_krishna_gems]

Dear Friends,
I am waiting for a straight reply from Paisapay or eBay.I want to make the issue clear and without any doubts whatsoever.

Well,Someone from eBay called me up and told me that they can not issue FIRC at any cost.This made my doubt more clear that something is really fishy out here.(Sorry I can not disclose the name of the person)


With Regards,
Deep Agarwal.
Shree Krishna Gems

[indconcepts]

Dear Amitava & Deep,

This is what the Postal Department data on net says.....

All exports by post, where the value exceeds Rs. 50/- and payment has to be received, must be declared on the exchange control form viz. P.P. form. When the postal article is covered by a certificate issued by the RBI (with or without limit) or by an authorised dealer in foreign exchange that the export does not involve any transaction in foreign exchange upto Rs. 500/-, the declaration in a P.P. form is not necessary. .


best regards

Umang Midha

[amitava123gems]

Hi,
I do fill up a form declaring the contents. That is a standard proforma. I declare the value as per ebay invoice. Nobody can dispute that. That is essential for the receipient country. I do enclose IEC.
What else!!!!!!! It works anyways, just no problem.
I dont smuggle or commit crime in any form. I dont export drug or arms.
Why pple dont accept simple things in simple manner???
I am doing absolutely legal transactions.
I am earning money by hard work.
I am proud to be a part and parcel of the greatest international community which is known as EBAY.
What is the problem?
Ebay says it is legal.
Isnt that enough?
Just accept the truth.
That will give you peace of mind.
If guys discourage Indians, the Chinese will be too glad. Do you want a situation like that? Mind you, international community is very much suspicious about Chinese items. Not with Indian items. If you visit dot com, you will know this. We should keep up our good work.
Isnt it?
Jump with both feet.
The world is yours.
Thanx,
Truly,
Amitava