Our company plans to import a batch of goods through an agent and would like to know whether VAT is payable on agent-imported goods. If so, is it paid by the agent or the principal? How are the payment method and tax rate determined? We would appreciate professional advice on this matter. Thank you.
The company imports goods through an agency company. The "Payment Unit (Person)" on the Special Payment Receipt for Customs Import VAT includes the names of both the agency company and itself. It asks whether it can deduct the VAT on imported goods and the required conditions. The best answer points out that if the original payment receipt is obtained and the import business is genuine and compliant, it can be deducted as required. At the same time, attention should be paid to authenticating or checking and confirming as required, and accurately filling in the relevant columns of the tax return.
The company exported goods through Zhongshitong Agency and has doubts about the ownership of the export tax rebate. The best answer indicates that if the conditions for entrusted agency export are met and the agent issues an export goods certificate to the principal, the rebate usually goes to the principal, as the principal is the entity actually bearing the VAT burden. If the agency agreement has special provisions that do not violate laws, those provisions shall apply.
The company plans to find an import agent to import goods and wants to know about matters related to the import agent paying VAT, such as who pays, the tax base, the process, and key points. The best answer indicates that there are two situations for an import agent to pay VAT. The tax base is the customs - duty - paid price plus customs duties, etc. The process is to declare to the customs and then pay according to the payment receipt issued by the customs. The key points are to accurately calculate the duty - paid price and pay taxes in a timely manner, etc.
I want to cultivate entrepot trade enterprises. Since this trade involves many links, I don't know how to start. I'm asking about how to make the enterprises develop steadily in this field and the key points. The best answer suggests that we should first conduct in-depth research on the market, then establish an efficient logistics network, also have a thorough understanding of tariff policies, focus on personnel training, and finally build a good reputation to help cultivate the enterprises from these aspects.
Want to understand the types of taxes and fees involved in agency imports, as the company plans to use an agency for importing goods but is unsure about the applicable taxes. The best answer indicates that agency imports mainly involve customs duties and value-added tax (VAT), with some goods subject to consumption tax. Customs duties are determined based on the goods' classification and country of origin, VAT is calculated using a specific formula, consumption tax applies to specific consumer goods, and there are additional fees like customs clearance. It's also important to clarify who bears these taxes and fees.
Ask whether a company needs to pay VAT when it entrusts an agent to import goods, as well as the specific operation and tax calculation method. The best answer states that an agent needs to pay VAT for import, which is collected on behalf by the customs. When declaring at the customs, the customs calculates the payable tax amount based on the dutiable value of the imported goods and the tax rate. The tax obligor is generally the consignee of the imported goods, etc., and the actual tax burden bearer is often the principal.
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Professional consultant answers
Jennifer WangYears of service：4Customer Rating：5.0
Market development consultantConsult
VAT is payable on agent-imported goods. According to relevant regulations, the taxpayer for VAT on imported goods is the consignee or the entity/person handling customs procedures. Therefore, the principal is generally responsible for paying VAT, though in practice, the agent may pay first and settle with the principal later.
Regarding the payment method, VAT on imported goods must be declared and paid to the customs office where the goods are cleared. Customs will collect import VAT along with import duties.
As for the tax rate, it is determined based on the applicable VAT rate for the imported goods. General goods are subject to a 13% rate, while agricultural products like grain, edible vegetable oil, and edible salt are subject to a 9% rate. Specific rates can be found in the Provisional Regulations on VAT of the People's Republic of China and related provisions.
Andrew HuangYears of service：7Customer Rating：5.0
Supply chain optimization expertConsult
VAT is indeed payable on agent-imported goods, and customs will collect it during import. The principal usually bears this tax, while the agent typically only handles the import process and does not assume tax liability, unless otherwise agreed in the agency contract.
William YangYears of service：5Customer Rating：5.0
International logistics consultantConsult
VAT is definitely payable. The principal usually pays, but if the agent imports under its own name, the agent becomes the taxpayer. The tax rate depends on the goods category, with different rates for different goods.
Emily LiuYears of service：10Customer Rating：5.0
Settlement and payment expertConsult
VAT is payable on agent-imported goods and collected by customs. The payer depends on the customs declaration: if the principal is the declarant, the principal pays; if the agent is the declarant, the agent pays.
Joseph ZhouYears of service：10Customer Rating：5.0
Senior foreign trade managerConsult
VAT is payable, and the payer is determined by who handles the customs declaration—the declarant is responsible for payment. The tax rate is determined based on the nature of the goods and relevant regulations.
James LiuYears of service：10Customer Rating：5.0
Foreign trade tax refund consultantConsult
VAT is payable on agent-imported goods, usually borne by the principal. The customs declarant pays it to customs, and the rate depends on the goods category.
Sarah ZhangYears of service：8Customer Rating：5.0
Document expertConsult
VAT is payable on all imported goods, whether through an agent or not. The principal usually pays, and customs collects it at the port of entry. The rate depends on the applicable VAT rate for the goods.
Michelle ChenYears of service：3Customer Rating：5.0
Business coordination consultantConsult
VAT is certainly payable, primarily by the principal, though the agent may pay in special cases. The rate varies (e.g., 9%, 13%) depending on the type of imported goods.
David LiYears of service：6Customer Rating：5.0
Senior customs declaration consultantConsult
VAT is payable on agent-imported goods. The taxpayer is determined by the customs declaration, and the rate follows the applicable rate for the goods category, collected by customs.
Amanda YangYears of service：3Customer Rating：5.0
Cost control consultantConsult
VAT is payable and collected by customs during declaration. The payer is determined by the declarant, and the rate depends on the goods type.