Commercial Export & Import

.       How can calculate Total Tax Incidence (TTl)? If importing invoice value is $ 38,780.82. Calculate TTI under Terms FOB,CIF/CFR. When, Exchange rate Tk 79.47=1$ AV= Assess Value=? CD = Customs Duty = 25% RD =Regulatory Duty = 3% SD =Supplementary Duty = 20% VAT = Value Added Tax =15% AIT= Advance Income Tax = 5% ATV = Advance Trade VAT = 4% FOB/ CFR : AV= Inv. Value +Freight+Insurance+Landing Charges CIF/ : AV= Inv. Value + Landing Charges Now, C alculateAssess Valueunder CFR: Assess Value: Invoice Value                          $ 38,780.82 (+)   Insu. 1%                            $387.81                                                   $ 39,168.53 (+) Landing Charge   1%          $ 391.69 Assess Value:                          $ 39,560.21 Convert TK 79.47/1$               Tk 31,43,714.59 (1 is adjusted) CD       = (AV X CD %)         = ($31,43,714.59 X 25%)        = TK 7,85,928.65 RD       = (AV X RD% )          =

Logistics dictionary A ALL IN (All Inclusive)  – Freight rate includes all costs associated with a particular shipment, no surcharges apply ATA (Actual Time of Arrival) – Actual time of a shipment’s arrival ATD (Actual Time of Departure) – A shipment’s actual time of departure B B/L (Bill of Lading) – Sea freight manifest issued to the cargo title holder by the forwarder BAS (Base Rate) – Basic freight rate BAF (Bunker Adjustment Factor) – Adjustment factor by which the base rate is adjusted depending on current fuel market price Booking – Reservation of all/partial cargo space of a shipping vessel C CAF (Currency Adjustment Factor) – Currency rate fluctuation adjustment factor added to the base rate. The rate is determined monthly or quarterly, usually a percentage of the base rate Carrier  – Person using own or leased vehicle to transport good on the basis of agreement with the sender Certificate of Origin – Document that ce

Shipping Terms & Glossary Incoterms 2000 When negotiating an international sales contract, both parties need to pay as much attention to the terms of sale as to the sales price.  To make it as clear as possible, an international set of trade terms (INCOTERMS) has been adopted by most countries that defines exactly the responsibilities and risks of both the buyer and seller including while the merchandise is in transit. The following is a definition for each term about the responsibilities of both the buyer and seller for each of the current 13 INCOTERMS. Origin Terms: EXW Ex-Works, named place where shipment is available to the buyer, not loaded. The seller will not contract for any transportation.