Who should bear the import taxes for agency imports? Come and discuss!
Solved#Import agent#
I hired an agency company to help import goods. Now it comes to the issue of import taxes, and I'm not quite sure who should bear it. Should it be me, the consignor, or the agency company? The contract didn't clearly specify it at that time. It only said that the agency would help handle a series of import procedures. In this case, how are the import taxes usually shared according to industry practices? I'm worried about having disputes with the agency company on this issue later. I hope everyone can give me some suggestions.
Professional consultant answers
Elizabeth LiYears of service：3Customer Rating：5.0
Compliance and risk managerConsult
In the agency import business, if the contract doesn't clearly stipulate, the bearing of import taxes generally follows the principle of "Who benefits, who bears". Usually, the consignor is the final beneficiary of the goods, so it is highly likely that the consignor should bear the import taxes. Because the agency company only assists in handling the import procedures, and the ownership and related rights and interests of the goods belong to the consignor.
However, there will also be special circumstances in actual business. For example, if the agency company is at fault during the agency process and causes an increase in taxes, for this part of the additional taxes, the agency company may need to bear the responsibility.
To avoid disputes, it is recommended that you negotiate with the agency company as soon as possible and sign a supplementary agreement to clearly define the tax-bearing party. If the negotiation fails, you can refer to industry practices or relevant legal provisions, and if necessary, seek legal remedies to solve the problem.
Emily LiuYears of service：10Customer Rating：5.0
Settlement and payment expertConsult
Generally, it is defaulted that the consignor bears the import taxes. After all, the goods are for the consignor to use, and the agency only provides services, so naturally the consignor should be responsible for the taxes.
Robert ChenYears of service：6Customer Rating：5.0
Customer service consultantConsult
If the contract doesn't state it, generally speaking, the consignor should bear the taxes. But if the agency makes an operational mistake and causes a change in taxes, then the agency should be responsible.
David LiYears of service：6Customer Rating：5.0
Senior customs declaration consultantConsult
Usually, the consignor bears the import taxes. This is a common practice in the industry. Unless there is a special agreement, otherwise the agency company will not bear this expense.
Andrew HuangYears of service：7Customer Rating：5.0
Supply chain optimization expertConsult
In this case, first see if you can friendly negotiate with the agency company to determine the tax-bearing party. Otherwise, according to the convention, the consignor should bear the import taxes.
James LiuYears of service：10Customer Rating：5.0
Foreign trade tax refund consultantConsult
If there is no agreement, it is mostly the consignor who bears it. Because the goods are imported by the consignor, the benefits are also for the consignor, and naturally the taxes are also paid by the consignor.
Sarah ZhangYears of service：8Customer Rating：5.0
Document expertConsult
Generally, the consignor bears the import taxes. If the agency has intentional or gross negligence that causes tax problems, the agency should be held liable, but there must be evidence.
Amanda YangYears of service：3Customer Rating：5.0
Cost control consultantConsult
According to the convention, the consignor is responsible for the import taxes. If the agency has illegal operations in the process and causes an increase in taxes, the agency should be responsible for the corresponding part.
Jennifer WangYears of service：4Customer Rating：5.0
Market development consultantConsult
Normally, the consignor bears the import taxes. After all, the agency only helps handle things, the goods belong to the consignor, and naturally the taxes should be paid by the consignor.
William YangYears of service：5Customer Rating：5.0
International logistics consultantConsult
If the contract has no clear provisions, generally it is the consignor who bears the import taxes, unless the agency has faults that cause abnormal taxes.