The money for agency export tax rebate is generally given to the principal. This is because the principal is the actual exporter and seller of the goods, bears the main risks and responsibilities of the goods' export, and enjoys the proceeds from the goods' export sales. The tax rebate is essentially a refund of the domestic value-added tax and others paid on the exported goods, so it should belong to the principal.
In actual operation, if the agent handles the tax rebate in the name of the principal, it needs to follow relevant regulations and transfer the tax rebate amount to the principal in a timely manner. If the agent handles the tax rebate in its own name, it also needs to pay the tax rebate amount to the principal according to the agency agreement after receiving it.
Of course, the specific situation still needs to refer to the agency export agreement signed by the principal and the agent. The agreement usually clarifies important clauses such as the attribution of the tax rebate amount and the payment method. It is recommended that you carefully check the content of the agreement. If the agreement has no clear stipulation, it can be determined through negotiation between the two parties.
Professional consultant answers
Sarah ZhangYears of service：8Customer Rating：5.0
Document expertConsult
The money for agency export tax rebate is generally given to the principal. This is because the principal is the actual exporter and seller of the goods, bears the main risks and responsibilities of the goods' export, and enjoys the proceeds from the goods' export sales. The tax rebate is essentially a refund of the domestic value-added tax and others paid on the exported goods, so it should belong to the principal.
In actual operation, if the agent handles the tax rebate in the name of the principal, it needs to follow relevant regulations and transfer the tax rebate amount to the principal in a timely manner. If the agent handles the tax rebate in its own name, it also needs to pay the tax rebate amount to the principal according to the agency agreement after receiving it.
Of course, the specific situation still needs to refer to the agency export agreement signed by the principal and the agent. The agreement usually clarifies important clauses such as the attribution of the tax rebate amount and the payment method. It is recommended that you carefully check the content of the agreement. If the agreement has no clear stipulation, it can be determined through negotiation between the two parties.
Andrew HuangYears of service：7Customer Rating：5.0
Supply chain optimization expertConsult
Under normal circumstances, the tax rebate money is given to the principal. However, if there is a special indication in the agency agreement signed at the beginning, it must be in accordance with the agreement. If the part about tax rebate in the agreement is not clear, communicate and negotiate with the agent as soon as possible to clarify the attribution.
Joseph ZhouYears of service：10Customer Rating：5.0
Senior foreign trade managerConsult
Generally, it is given to the principal, but it depends on the specific business model. If the agent only purely helps with the export process procedures and the tax rebate-related materials are all provided by the principal, then the tax rebate must be given to the principal. If the agent undertakes more tax rebate declaration work, the two parties may have to discuss how to allocate it.
Amanda YangYears of service：3Customer Rating：5.0
Cost control consultantConsult
The money for agency export tax rebate usually belongs to the principal. After all, the principal is the owner of the goods, and the agent only assists with the export. As long as the principal provides complete tax rebate materials as required, the tax rebate amount should return to the principal.
David LiYears of service：6Customer Rating：5.0
Senior customs declaration consultantConsult
Mostly, it is given to the entrusting enterprise because the entrusting enterprise is the real export business entity. However, if the agent has made extra efforts during the tax rebate process, such as advancing funds, it can also negotiate with the principal to see if a part of the tax rebate amount can be allocated as compensation.
Michelle ChenYears of service：3Customer Rating：5.0
Business coordination consultantConsult
The tax rebate amount is basically given to the principal. But if there is an oral or written agreement on the distribution of tax rebate benefits between the agent and the principal during their previous cooperation, then the money should be dealt with according to the agreement.
Jennifer WangYears of service：4Customer Rating：5.0
Market development consultantConsult
According to the regulations, the money for agency export tax rebate should be given to the principal. But in practice, some agents may deduct some handling fees from the tax rebate amount. It depends on how it was negotiated before, and it is best to write it clearly in the agreement.
James LiuYears of service：10Customer Rating：5.0
Foreign trade tax refund consultantConsult
Generally, it is given to the principal. But if the agent encounters difficulties and solves them during the tax rebate declaration, making the tax rebate process go smoothly, the principal can also appropriately give the agent some rewards, but this is not mandatory.
Elizabeth LiYears of service：3Customer Rating：5.0
Compliance and risk managerConsult
Normally, the principal gets the tax rebate money. But if the principal has a breach of contract during the export process, affecting the interests of the agent, the agent may deduct a part of the tax rebate amount according to the relevant agreement.