Remittance of foreign exchange to the agent abroad before realization of export proceeds, FEMA

[satbir singh wahi]

can foriegn commission to agent abroad be remitted before realisation of export proceeds,if goods are exported under letter of credit and acceptance has been received for the documents sent through bank.where to get CDX form (paragraph II H.4(1)- statement of commission on export.

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[Surender Gupta]

Para c26 of the master circular dated July 1, 2009 stipulated the condition of shipment before making payment to agent in abroad (agency commission). There is no condition that foreign exchange must be realized before remitting the payment for agency commission.