Who on earth should the freight invoice for agency export be issued to? Come and discuss together!
Solved#Export agent#
Our company has engaged an agency company to handle export business. Now it comes to the issue of issuing freight invoices. We are not quite sure whether we should ask the relevant party to issue the freight invoice to our company or to the agency company. If it is issued to us, will there be any trouble in the subsequent operations? What should we pay attention to if it is issued to the agency company? We hope that experienced friends can share with us to whom the freight invoice for agency export should actually be issued and what the factors to be considered behind this are.
Professional consultant answers
James LiuYears of service：10Customer Rating：5.0
Foreign trade tax refund consultantConsult
In the agency export business, to whom the freight invoice is issued mainly depends on the agency model. If it is a pure agency model, that is, the agency company only provides agency services and charges agency fees, and the ownership and other rights and interests of the goods belong to the entrusting party. In this case, the freight invoice is usually issued to the entrusting party, that is, your company. This will facilitate your company to accurately account for the export costs and also conform to the essence of the business.
If it is a buyout agency, the agency company buys out the goods for export and the ownership of the goods belongs to the agency company. At this time, the freight invoice should be issued to the agency company. Because the agency company is responsible for the entire process of goods export and cost accounting.
Regardless of to whom it is issued, it is necessary to ensure that the invoice information is accurate and consistent with the actual business. Meanwhile, relevant business vouchers should be retained for subsequent tax and financial inspections.
David LiYears of service：6Customer Rating：5.0
Senior customs declaration consultantConsult
Generally, it depends on how the contract is signed. If the contract stipulates that the agency company is responsible for freight settlement and other matters, the invoice should be issued to the agency company to facilitate their unified handling of costs and business processes.
Andrew HuangYears of service：7Customer Rating：5.0
Supply chain optimization expertConsult
If considered from the perspective of tax rebate, it is more appropriate to issue it to the entrusting party because the entrusting party handles the tax rebate and it is more convenient to operate with the relevant cost invoices in its own hands.
Sarah ZhangYears of service：8Customer Rating：5.0
Document expertConsult
Attention should also be paid to the flow of funds. In principle, the invoice should be issued to whoever pays the freight. In this way, the financial process will be clearer and tax risks can be avoided.
Michelle ChenYears of service：3Customer Rating：5.0
Business coordination consultantConsult
If the agency company has relevant financial processing requirements, such as their unified collection of cost accounting, it can also be issued to the agency company, but it is necessary to communicate well in advance.
William YangYears of service：5Customer Rating：5.0
International logistics consultantConsult
Actually, regardless of to whom it is issued, it is necessary to ensure that the invoice is compliant and can be reasonably processed in finance and tax. Otherwise, problems are likely to occur in the subsequent process.
Elizabeth LiYears of service：3Customer Rating：5.0
Compliance and risk managerConsult
If it is issued to the entrusting party, the entrusting party should be clear about the tax treatment method of the freight, such as whether it can be deducted, etc., and understand the policies in advance.
Joseph ZhouYears of service：10Customer Rating：5.0
Senior foreign trade managerConsult
If the agency company has special arrangements or responsibilities in the transportation link, issuing the invoice to them can enable them to better coordinate transportation and handle possible problems.
Jennifer WangYears of service：4Customer Rating：5.0
Market development consultantConsult
Sometimes, to whom it is issued also depends on who the subject of the transportation contract is. The transportation contract and the invoice header should be kept as consistent as possible.