{"id":680,"date":"2018-02-05T04:27:12","date_gmt":"2018-02-05T09:27:12","guid":{"rendered":"http:\/\/www.letterofcredit.biz\/?p=680"},"modified":"2019-04-07T06:12:44","modified_gmt":"2019-04-07T10:12:44","slug":"commercial-invoice-not-issued-by-the-beneficiary-discrepancy","status":"publish","type":"post","link":"https:\/\/www.letterofcredit.biz\/index.php\/2018\/02\/05\/commercial-invoice-not-issued-by-the-beneficiary-discrepancy\/","title":{"rendered":"Commercial Invoice Not Issued by the Beneficiary Discrepancy"},"content":{"rendered":"

A commercial invoice is a trade document, which is generally prepared during the shipment stage.<\/p>\n

A commercial invoice is a required document for the export and import clearance process. It is sometimes used for foreign exchange purposes.<\/p>\n

In the buyer\u2019s country, it is the document that is used by their custom officials to assess import duties and taxes. (Source: Export Information and Documentation: A Guide for New Exporters Page: 18<\/a>)<\/p>\n

A commercial invoice should be issued by the beneficiary of the letter of credit, according to the letter of credit rules and standard banking practices.<\/p>\n

A commercial invoice must appear to have been issued by the beneficiary or, in the case of a transferred credit, the second beneficiary.<\/p>\n

A commercial invoice must appear to have been made out in the name of the applicant.<\/p>\n

If the beneficiary of a letter of credit presents a commercial invoice, which has been issued by an entity other than the beneficiary, the issuing bank raises a discrepancy, which is known as invoice not issued by the beneficiary.<\/p>\n

Discrepancy Example: Commercial Invoice Not Issued by the Beneficiary<\/strong><\/h4>\n

A letter of credit has been issued in SWIFT format, subject to UCP 600, with the following details:<\/p>\n

Letter of Credit Conditions<\/strong><\/span><\/p>\n

Field 59: Beneficiary – Name & Address:<\/strong> Himmel Konig Sondermaschinen GmbH Auguste-Kessler-Str. 10 72100 Aalen Germany<\/p>\n

Field 45A: Description of Goods and or Services:<\/strong> Supply of 1 pcs erosion and tool grinding machine as per Proforma Invoice No 120 dated 12.03.2014. Delivery Terms: CFR Apapa Seaport Lagos Incoterms 2010.<\/p>\n

Field 46A: Documents Required:<\/strong> 2 original signed commercial invoices and 3 copies.<\/p>\n

Field 47A: Additional Conditions:<\/strong> Third party documents are acceptable which means that all documents, excluding drafts and invoices, may be issued by a party other than the beneficiary.<\/p>\n

The beneficiary presented a commercial invoice as shown on the below picture.<\/p>\n

Commercial Invoice<\/strong><\/span>\"commercial<\/a><\/p>\n

Discrepancy:<\/strong> Invoice should have issued by \u201cHimmel Konig Sondermaschinen GmbH\u201d, but it is actually issued by \u201cMaschinen Handels GmbH\u201d .<\/p>\n

The additional condition, which is included in field 47-A, would have no effect on determination of the discrepancy, because the draft and the commercial invoice have been excluded from the scope of this clause.<\/p>\n

Reason for Discrepancy:<\/strong> Commercial invoice not issued by the beneficiary. A commercial invoice must appear to have been issued by the beneficiary or, in the case of a transferred credit, the second beneficiary.<\/p>\n","protected":false},"excerpt":{"rendered":"

A commercial invoice is a trade document, which is generally prepared during the shipment stage. A commercial invoice is a required document for the export and import clearance process. It is sometimes used for foreign exchange purposes. In the buyer\u2019s<\/p>\n","protected":false},"author":1,"featured_media":683,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[92,83],"tags":[35,128,125,84],"class_list":["post-680","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-commercial-invoice-discrepancies","category-letter-of-credit-discrepancies","tag-beneficiary","tag-commercial-invoice","tag-commercial-invoice-discrepancies","tag-letter-of-credit-discrepancies"],"_links":{"self":[{"href":"https:\/\/www.letterofcredit.biz\/index.php\/wp-json\/wp\/v2\/posts\/680","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.letterofcredit.biz\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.letterofcredit.biz\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.letterofcredit.biz\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.letterofcredit.biz\/index.php\/wp-json\/wp\/v2\/comments?post=680"}],"version-history":[{"count":0,"href":"https:\/\/www.letterofcredit.biz\/index.php\/wp-json\/wp\/v2\/posts\/680\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.letterofcredit.biz\/index.php\/wp-json\/wp\/v2\/media\/683"}],"wp:attachment":[{"href":"https:\/\/www.letterofcredit.biz\/index.php\/wp-json\/wp\/v2\/media?parent=680"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.letterofcredit.biz\/index.php\/wp-json\/wp\/v2\/categories?post=680"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.letterofcredit.biz\/index.php\/wp-json\/wp\/v2\/tags?post=680"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}