How should transit trade auditing be done? Come and offer some suggestions!
Solved#Entrepot trade#
I've just started working in the trade field and am now responsible for matters related to transit trade auditing. However, I'm not very clear about the specific auditing processes and key points. I'd like to ask everyone, when auditing transit trade, what aspects should be focused on? Are there any relatively systematic auditing methods? I hope experienced predecessors can share their experiences so that I can complete my work better and avoid taking detours.
Professional consultant answers
James LiuYears of service：10Customer Rating：5.0
Foreign trade tax refund consultantConsult
When auditing transit trade, first of all, one should examine the authenticity of the trade background. Check documents such as contracts, invoices, and bills of lading to ensure that the actual circulation of goods is consistent with the transaction description and prevent false trades.
Secondly, pay attention to the flow of goods. Goods usually need to be shipped from the country of origin to the transit country and then transshipped to the final destination country. Verify the transportation routes and relevant logistics documents.
Furthermore, audit the flow of funds. Confirm that the flow of funds is in line with the stipulations of the trade contract to avoid abnormal fund flows.
Additionally, note the rationality of trade prices. Compare with the market prices of similar products to prevent price manipulation. Meanwhile, review the qualifications and reputations of all parties involved in the transactions to reduce trading risks.
Michelle ChenYears of service：3Customer Rating：5.0
Business coordination consultantConsult
Auditing transit trade contracts is crucial. One should pay attention to whether the contract terms are clear, such as the delivery period, quality standards, etc., to avoid disputes caused by ambiguity.
Andrew HuangYears of service：7Customer Rating：5.0
Supply chain optimization expertConsult
Transportation documents are the key points of auditing. For example, for bills of lading, one should check their authenticity, integrity, and whether they have been tampered with or not.
William YangYears of service：5Customer Rating：5.0
International logistics consultantConsult
One should confirm the payment situation of taxes and fees involved in transit trade to avoid legal risks caused by tax and fee issues.
Amanda YangYears of service：3Customer Rating：5.0
Cost control consultantConsult
Pay attention to the policies and regulations of the transit country to see if there are any restrictions or special requirements on transit trade.
Joseph ZhouYears of service：10Customer Rating：5.0
Senior foreign trade managerConsult
Don't overlook the review of cargo insurance during auditing to ensure that the goods are insured during transportation.
Elizabeth LiYears of service：3Customer Rating：5.0
Compliance and risk managerConsult
Analyze the necessity of transit trade and judge whether there is really a need to conduct transactions through transit.
Sarah ZhangYears of service：8Customer Rating：5.0
Document expertConsult
Investigate the business histories of all parties involved in the trade to see if there are any bad records.
Jennifer WangYears of service：4Customer Rating：5.0
Market development consultantConsult
Pay attention to the impact of exchange rate fluctuations on the settlement of transit trade and take precautions against risks in advance.