The tax types involved in export agency mainly include value-added tax and corporate income tax.
In terms of value-added tax, if the agency company is a general taxpayer, the agency fee it charges needs to be subject to value-added tax at a tax rate of 6%. Meanwhile, in the goods export link, if it meets the conditions for export tax refund, the export agent will assist the entrusting party to handle the export tax refund and refund the value-added tax already paid in the domestic production and circulation links. However, this part of the tax refund belongs to the entrusting party.
For corporate income tax, the agency company pays it based on its operating income at the general tax rate of 25% (if it meets the preferential conditions such as small and micro-profit enterprises, the corresponding preferential tax rate applies). The operating income includes agency fee income, etc. The payment of these tax types has an impact on the costs of the agency company, which may in turn affect the pricing of the agency fee, but has little impact on the product prices of the entrusting party. It mainly depends on the negotiation of the agency fee between the two parties.
Understanding these tax types is helpful for reasonably planning the costs of export agency business.
Professional consultant answers
David LiYears of service:6Customer Rating:5.0
Senior customs declaration consultantConsult
The tax types involved in export agency mainly include value-added tax and corporate income tax.
In terms of value-added tax, if the agency company is a general taxpayer, the agency fee it charges needs to be subject to value-added tax at a tax rate of 6%. Meanwhile, in the goods export link, if it meets the conditions for export tax refund, the export agent will assist the entrusting party to handle the export tax refund and refund the value-added tax already paid in the domestic production and circulation links. However, this part of the tax refund belongs to the entrusting party.
For corporate income tax, the agency company pays it based on its operating income at the general tax rate of 25% (if it meets the preferential conditions such as small and micro-profit enterprises, the corresponding preferential tax rate applies). The operating income includes agency fee income, etc. The payment of these tax types has an impact on the costs of the agency company, which may in turn affect the pricing of the agency fee, but has little impact on the product prices of the entrusting party. It mainly depends on the negotiation of the agency fee between the two parties.
Understanding these tax types is helpful for reasonably planning the costs of export agency business.
Robert ChenYears of service:6Customer Rating:5.0
Customer service consultantConsult
In addition to value-added tax and corporate income tax, stamp duty may also be involved. For example, when signing an export agency contract, stamp duty needs to be paid according to a certain proportion of the contract amount, and the proportion is usually low, with a relatively small impact.
Elizabeth LiYears of service:3Customer Rating:5.0
Compliance and risk managerConsult
In some regions, additional taxes and fees such as urban maintenance and construction tax and education surcharge may also be involved. They are based on value-added tax and consumption tax as the tax calculation basis. If the export agent has paid value-added tax, it needs to pay these additional taxes and fees according to the corresponding proportion.
James LiuYears of service:10Customer Rating:5.0
Foreign trade tax refund consultantConsult
The tariffs involved in export agency are generally borne by the entrusting party, and the agency company only assists in handling the relevant procedures. However, under special circumstances, the agency company may be involved in tariff handling due to some business arrangements.
Andrew HuangYears of service:7Customer Rating:5.0
Supply chain optimization expertConsult
If the exported goods belong to taxable consumer goods for consumption tax, attention should also be paid to consumption tax. For exported taxable consumer goods, consumption tax is generally exempted, except in special cases.
Jennifer WangYears of service:4Customer Rating:5.0
Market development consultantConsult
If the export agency company has the right to engage in import and export operations and uses some imported equipment for its own use, etc., it may be involved in value-added tax and tariffs in the import link. However, this depends on the specific business situation.
Michelle ChenYears of service:3Customer Rating:5.0
Business coordination consultantConsult
Vehicle and vessel tax may also be involved. If the export agency company owns vehicles, vessels or other means of transportation, it is required to pay vehicle and vessel tax according to regulations. However, this is not particularly closely related to the export agency business itself.
Emily LiuYears of service:10Customer Rating:5.0
Settlement and payment expertConsult
Land use tax. If the agency company has its own land for business premises, etc., it needs to pay land use tax, and the tax amount standards vary in different regions.
Amanda YangYears of service:3Customer Rating:5.0
Cost control consultantConsult
Real estate tax. If the agency company owns real estate, it also needs to pay real estate tax, and this part of the cost will also affect the company's operation to a certain extent.