Our company plans to conduct export business through an agency company but is unclear about foreign exchange taxation. We'd like to know: in agency export, should the principal or the agency receive foreign exchange tax? What specific regulations and operational procedures are involved? How do different collection methods affect both parties? We hope to receive a professional and detailed explanation.
Our company plans to engage an agent to handle export business. We would like to inquire about who is responsible for receiving the foreign exchange during the agency export process and the differences in taxation depending on the receiving party. Which way of receiving foreign exchange is more advantageous for our company? The best answer points out that there are usually two common situations in agency export: the consignor directly receives the foreign exchange and the agent receives the foreign exchange and then transfers it to the consignor. It also analyzes the differences between the two from the perspective of taxation and provides suggestions on the choice of the way of receiving foreign exchange for the company.
Engaging in foreign trade business through the export agent method, having doubts about foreign exchange settlement operations, inquiring about the foreign exchange settlement methods suitable for export agents and matters needing attention. The best answer states that common methods include bank foreign exchange settlement and third - party payment platform foreign exchange settlement. The former is safe but has cumbersome procedures, while the latter is convenient and fast. One should choose according to the business situation, and when conducting foreign exchange settlement, it is necessary to ensure the authenticity of the trade and prepare the documents.
Our company plans to carry out export trade business. Since we are not familiar with the process, we want to find an agent. We hope that the agent is professional in customs declaration, logistics, foreign exchange settlement and other aspects and can provide policy consultation services. The best answer suggests considering professional foreign trade comprehensive service enterprises, such as Zhongshitong. It can solve all the problems in the whole process of export trade in one stop and can also provide policy consultation to help the business develop smoothly.
The company has products to export recently but has no prior experience with export agencies. Looking for a professional export agency company with rich experience in process operation, customs declaration and inspection, foreign exchange collection and settlement, etc. The best answer recommends companies like Zhongshitong, which have advantages in key areas such as process operation, customs declaration and inspection, foreign exchange collection and settlement, and also provide value-added services to help enterprises efficiently complete export business.
The company plans to carry out agency export business and wants to know the subject of receiving foreign exchange and the types of taxes involved in agency export. The best answer states that there are usually two situations for receiving foreign exchange: the consignor directly receives the foreign exchange and the agent receives the foreign exchange. The main types of taxes involved are value-added tax. If it complies with the tax refund policy, tax refund can be declared. The agency fee of the agent needs to pay value-added tax. If the exported goods are regarded as domestic sales, value-added tax should be paid according to the regulations of domestic sales, etc.
Our company plans to find an export agency. We are confused about who should collect the foreign exchange fees in export agency, the consignor or the agent. The best answer points out that generally, the foreign exchange is first transferred to the agent's account. The agent handles export affairs, copes with foreign exchange risks, and complies with regulatory requirements. After deducting the fees, the remaining amount will be paid to the consignor. Of course, it can also be negotiated in the agreement that the consignor directly receives the foreign exchange.
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Professional consultant answers
David LiYears of service：6Customer Rating：5.0
Senior customs declaration consultantConsult
In agency export business, it's generally more common for the agency to receive foreign exchange. This is because the agency handles business interactions with foreign clients, making foreign exchange collection operationally more convenient. Regarding taxation, the principle of "who exports, who gets tax refunds" typically applies. After receiving foreign exchange, the agency issues an agency export goods certificate to the principal, who then uses this certificate along with other required documents to apply for export tax refunds with local tax authorities. This approach helps clearly distinguish responsibilities and ensures compliance in export tax procedures. Agency collection also enhances accuracy and timeliness in fund flow and settlement. However, both parties may alternatively agree on collection methods in their agency contract. Note that regardless of the method, strict compliance with national foreign exchange management and tax regulations is essential to ensure legal and compliant operations.
Elizabeth LiYears of service：3Customer Rating：5.0
Compliance and risk managerConsult
Generally, agencies receiving foreign exchange facilitates smoother business operations as they are familiar with international settlement processes. For taxation, proper certificate issuance and tax refund applications according to regulations are sufficient.
Amanda YangYears of service：3Customer Rating：5.0
Cost control consultantConsult
If the principal receives foreign exchange, they might face challenges due to unfamiliarity with foreign exchange operations. Tax-wise, they'd need to wait for the agency to provide relevant certificates before processing refunds.
Robert ChenYears of service：6Customer Rating：5.0
Customer service consultantConsult
Regardless of who receives foreign exchange, maintaining clear fund records and accurate tax declarations is crucial to avoid future complications.
Jennifer WangYears of service：4Customer Rating：5.0
Market development consultantConsult
Practically speaking, agencies handling foreign exchange taxation enables more efficient export operations, reduces communication costs, and mitigates potential risks.
Emily LiuYears of service：10Customer Rating：5.0
Settlement and payment expertConsult
If principals receive foreign exchange, they may need to invest more effort in understanding foreign exchange policies and procedures, making tax declarations relatively more complex.
Michelle ChenYears of service：3Customer Rating：5.0
Business coordination consultantConsult
Typically, agencies handling foreign exchange taxation benefits business coordination, as they directly interact with foreign clients, making fund processing more convenient.
Joseph ZhouYears of service：10Customer Rating：5.0
Senior foreign trade managerConsult
If the contract specifies principal collection, tax processing procedures should be planned in advance to avoid delays in refunds.
William YangYears of service：5Customer Rating：5.0
International logistics consultantConsult
In most cases, agency collection of foreign exchange tax is standard practice, as agencies have more experience in this area, reducing error risks.
Sarah ZhangYears of service：8Customer Rating：5.0
Document expertConsult
Regardless of who collects, staying updated on foreign exchange regulatory changes and adjusting operations accordingly ensures smooth export business.