Who Gets the Tax Refund for Export Agency? You May Have Been Wrong All Along!

On the big stage of international trade, export agency business is becoming more and more common. Many enterprises or individuals will choose the way of export agency to carry out export business more conveniently. However, a crucial question then arises before everyone: who gets the tax refund for export agency? Today, let's have a good chat about this matter so that you can have a clear answer in your mind.

First of all, we need to understand the common models of export agency. Generally speaking, there will be a consignor and a consignee. The consignor usually has the goods resources and wants to export products to foreign markets, but may choose to seek the help of an agency due to reasons such as lacking relevant export qualifications, experience, or manpower. And the consignee, that is, the agency, such as an institution like Zhongshitong that specializes in export agency business, has advantages such as a complete ability to handle export formalities and being familiar with international trade processes. Under this model, both parties will sign an export agency agreement to clarify their respective rights and obligations.

So, in export agency, who can actually get the tax refund? It can't be generalized. According to relevant regulations and general business operation practices, the subject of the tax refund is usually the consignor. Because essentially, the goods belong to the consignor, and the final proceeds from the export should also belong to the consignor. Although the agency is responsible for handling various export formalities, including customs declaration, inspection application, etc., these are all operations based on the consignor's goods. However, there is an important prerequisite here, that is, the consignor must meet the relevant conditions for the tax refund. For example, the consignor needs to provide legal and valid special VAT invoices and other documentary materials required for the tax refund. If these materials are incomplete or do not meet the requirements, even if the tax refund should belong to the consignor in principle, it will not be possible to smoothly obtain the tax refund amount.

• The consignor itself must meet the tax refund eligibility and cannot have any bad records such as tax violations.
• The invoices and other documentary materials provided must match the actual situation of the exported goods and cannot be falsified.

Although the subject of the tax refund is the consignor, don't underestimate the role of the agency in the tax refund process. An agency like Zhongshitong will play an important assisting role throughout the export and tax refund processes. For example, the agency will accurately fill in export documents such as customs declaration forms based on the goods information provided by the consignor to ensure that the goods can be successfully declared and exported. In the tax refund declaration stage, the agency will also sort out all the materials that need to be submitted according to relevant regulations and procedures, and then submit the tax refund application on behalf of the consignor to the tax department. It can be said that the agency is like a "behind-the-scenes assistant", helping the consignor handle the tax refund matter properly. But remember, the agency is only assisting in handling the tax refund, and the final tax refund amount will still be transferred to the account designated by the consignor.

For the consignor, to smoothly obtain the tax refund, the following points need to be done well. First, ensure the tax compliance of oneself, declare and pay taxes on time, etc., and don't let one's own tax problems affect the tax refund. Second, closely cooperate with the agency and provide accurate and complete documentary materials in a timely manner according to the requirements of the agency. For the agency, it also needs to continuously improve its professional quality and service level to ensure that no mistakes are made when handling export and tax refund formalities. Only when both parties work together can the tax refund matters for export agency proceed smoothly, allowing everyone to obtain the due benefits in international trade.

In conclusion, the question of who gets the tax refund for export agency should be clear to you now. In actual business operations, both the consignor and the agency need to clarify their respective responsibilities and obligations and handle affairs according to regulations and procedures, so that the export agency business can thrive and everyone can benefit from it. Have you ever encountered any problems regarding tax refunds in export agency business? Welcome to leave a message and share in the comment section.