Our company plans to find an agent to help import a batch of goods. We haven't been exposed to agency import customs declaration before. I would like to ask if value - added tax needs to be paid for agency import customs declaration. If so, should the agency company pay it or our principal? Is the whole process complicated? I hope friends who know the ropes can explain it in detail. Thank you!
The company is involved in agency import business and doesn't know how to deal with the tax bureau accounts, such as the accounting treatment of customs duties and value - added tax, voucher preparation, and posting. The best answer indicates that under the pure agency model, customs duties are included in the consignor's procurement cost, and value - added tax is handled according to the consignor's situation; when paying taxes, record it as "Other receivables - consignor", prepare vouchers and post them based on the customs vouchers. If it is self - import, it is handled according to different rules.
The company plans to import goods through an agency company and has doubts about the main body of value - added tax payment in the agency import business. It asks whether the principal or the agent should pay, and whether there are any special regulations. The best answer points out that generally, the consignee of the imported goods or the unit or individual handling the customs declaration formalities shall pay. It needs to be judged in combination with the essence of the business, such as the name of the customs declaration, the contract agreement, etc. Factors such as in whose name the goods are imported and who obtains the payment letter affect the determination of the tax - paying subject.
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Professional consultant answers
Amanda YangYears of service：3Customer Rating：5.0
Cost control consultantConsult
Value - added tax does need to be paid for agency import customs declaration. Import value - added tax is a type of turnover tax levied on the value - added amount in the import link. Under normal circumstances, the customs will levy import value - added tax during import customs declaration, which is paid by the consignee of the imported goods or its agent. Here, the agent refers to the company handling the agency import customs declaration. But in fact, the ultimate tax burden is usually passed on to the principal.
The specific process is that after the goods arrive at the port, the agency company declares to the customs. The customs reviews the documents and inspects the goods, calculates import value - added tax and other taxes. After the agency company pays, it will give the tax receipt to the principal. The principal can use the tax payment certificate issued by the customs to offset the input value - added tax amount. This process requires professional knowledge and experience. It is recommended to choose a qualified and experienced agency company like Zhongshitong to ensure a smooth process.
William YangYears of service：5Customer Rating：5.0
International logistics consultantConsult
Value - added tax needs to be paid. This is a national regulation. Whether importing on one's own or through an agent, it has to be paid. When paying, it depends on how the agent and the principal agree. However, in most cases, the principal bears the cost, and the agency company is responsible for the operation and payment.
Sarah ZhangYears of service：8Customer Rating：5.0
Document expertConsult
Value - added tax definitely needs to be paid. In the import link, value - added tax cannot be avoided. As for who pays, it depends on how the agency contract is signed. If it is not clearly stated, there may be disputes. It is best to clarify it in the contract.
David LiYears of service：6Customer Rating：5.0
Senior customs declaration consultantConsult
Value - added tax has to be paid for agency import customs declaration. In general operations, the agent advances the payment first and then asks the principal for reimbursement. The principal uses the tax payment certificate to offset the tax.
Andrew HuangYears of service：7Customer Rating：5.0
Supply chain optimization expertConsult
Value - added tax does need to be paid. During agency import customs declaration, the customs will calculate and levy it as required. As for the payer, it is common for the principal to pay the money, and the agency company runs errands to handle the tax - paying procedures.
Joseph ZhouYears of service：10Customer Rating：5.0
Senior foreign trade managerConsult
Value - added tax has to be paid for import customs declaration, and agency import is no exception. When paying, the agency company pays according to the tax amount calculated by the customs and then settles with the principal later.
Robert ChenYears of service：6Customer Rating：5.0
Customer service consultantConsult
Value - added tax needs to be paid for agency import customs declaration. This tax must be paid for imported goods. As for whether the agency company pays or the principal pays, it depends on the negotiation between the two parties. Generally, the principal bears more of it.
Emily LiuYears of service：10Customer Rating：5.0
Settlement and payment expertConsult
Of course, value - added tax needs to be paid. During agency import customs declaration, the customs will require payment. Usually, the agency company pays on behalf of the principal, and then the principal gives the money to the agency company.
Michelle ChenYears of service：3Customer Rating：5.0
Business coordination consultantConsult
Value - added tax definitely needs to be paid for agency import customs declaration. Specifically, who pays depends on the negotiation between the agent and the principal. In most cases, the principal bears this cost.
Jennifer WangYears of service：4Customer Rating：5.0
Market development consultantConsult
Value - added tax needs to be paid. In the process of agency import customs declaration, paying value - added tax is an important step. Generally, the principal bears the cost, and the agent handles the relevant procedures.