Can export agency customs declaration be considered domestic sales? Come and find out!
Our company recently had a batch of goods and hired an export agency to help with customs declaration. But now we have a problem. Can this situation of customs declaration through an export agency be considered domestic sales? Because it involves some tax and accounting treatments, I'm not sure about the definition between the two. If it is considered domestic sales, the subsequent operations will follow the domestic sales process; if not, it has to be handled according to the relevant export policies. I hope friends who know the ropes can explain it to me in detail. Thank you!
Professional consultant answers
Robert ChenYears of service:6Customer Rating:5.0
Customer service consultantConsult
Export agency customs declaration is not considered domestic sales. Export agency customs declaration refers to the act of an enterprise entrusting an agency company to declare export goods to the customs. The actual flow of the goods is abroad, and the goal is to complete cross - border sales. While domestic sales refer to sales in the domestic market. There are significant differences between the two in terms of sales targets, tax policies, regulatory requirements, etc.
From a tax perspective, goods declared through export agency customs declaration generally enjoy the export tax rebate policy, aiming to encourage exports and enhance the international competitiveness of products; domestic sales need to pay value - added tax and other taxes according to domestic tax regulations.
In terms of supervision, export customs declaration must comply with the customs' regulatory requirements for export goods and submit relevant documents; domestic sales mainly comply with domestic market supervision regulations. Therefore, the goods of your company declared through the export agency cannot be considered domestic sales, and subsequent matters need to be handled according to the export process and relevant policies.
Michelle ChenYears of service:3Customer Rating:5.0
Business coordination consultantConsult
It's not considered domestic sales. For export agency customs declaration, the goods are to be shipped abroad, while domestic sales mean selling within the country. The directions are different, so it definitely can't be considered domestic sales.
Amanda YangYears of service:3Customer Rating:5.0
Cost control consultantConsult
It can't be considered domestic sales. Exports and domestic sales are completely different in terms of customs management and tax declaration. Export agency customs declaration has its own export process and policies.
David LiYears of service:6Customer Rating:5.0
Senior customs declaration consultantConsult
Export agency customs declaration is not considered domestic sales. Because the goods finally leave the country, which is completely different from the flow direction of domestic - sold goods, and the financial and tax treatments are also different.
Elizabeth LiYears of service:3Customer Rating:5.0
Compliance and risk managerConsult
Of course, it's not considered domestic sales. Export agency customs declaration is for foreign customers, while domestic sales are for domestic customers. This is easy to distinguish.
Emily LiuYears of service:10Customer Rating:5.0
Settlement and payment expertConsult
Export agency customs declaration does not fall within the category of domestic sales. Exports are for overseas markets, and domestic sales are for the domestic market. The two should not be confused.
James LiuYears of service:10Customer Rating:5.0
Foreign trade tax refund consultantConsult
No, for export agency customs declaration, the goods go abroad, while domestic sales involve circulation within the country. The nature is different, and the handling methods are also different.
Sarah ZhangYears of service:8Customer Rating:5.0
Document expertConsult
Export agency customs declaration is definitely not considered domestic sales. From the essence of the business to the subsequent operations, they are different. Don't make a mistake.
Andrew HuangYears of service:7Customer Rating:5.0
Supply chain optimization expertConsult
It can't be considered domestic sales. Export agency customs declaration has its own export rules, which are quite different from domestic sales.