A company in Shenzhen wants to expand its overseas business and wishes to understand the situation regarding Shenzhen export agency fees. The best answer states that there is no fixed standard for export agency fees, which are commonly charged as a percentage of the order value (around 1%-5%) or per bill of lading (800 - 3000 RMB/bill of lading). There are also miscellaneous fees such as customs declaration fees (200 - 500 RMB/bill of lading) and document fees (100 - 300 RMB/bill of lading). Agency companies will choose appropriate charging methods based on specific business circumstances.
Exporting through an agent, how to handle tax refunds?
Resolved
Our company plans to use an agent for export business. Previously, we handled export tax refunds ourselves. Now that we are using an agent, we are not sure how to handle the tax refund process. Will the agent assist with tax refund matters, or will we handle it ourselves? If the agent handles it, what specifically needs to be done? What documents are required? We hope for a professional answer. Thank you!
Trade Expert Insights Answers
Anthony LuoYears of service：10Customer Rating：5.0
Trade Compliance ExpertStart a Chat
When you use an agent for exports, there are generally two common methods for handling tax refunds. One is for the agent company to assist you in processing the tax refund, and the other is for you to handle the tax refund yourself. If you choose to have the agent company assist in processing the tax refund, the typical process is as follows: Firstly, you need to sign a detailed agency export agreement with the agent company, clearly defining the rights and obligations of both parties in the tax refund process. Secondly, you need to prepare the relevant tax refund documents as required by the agent company, such as the export customs declaration form, special VAT invoice, export invoice, etc. After receiving the documents, the agent company will conduct an initial review and organization, and then submit them to the tax authorities to apply for the tax refund. During this process, you should communicate with the agent company in a timely manner to ensure the accuracy of the documents. After the tax authorities approve the application, the tax refund will be credited to the agent company's account, and the agent company will then transfer it to you.
If you handle the tax refund yourself, the agent company will mainly provide documents related to export procedures such as customs declaration. You can then apply for the tax refund from the tax authorities following your usual process for handling tax refunds.
David ChenYears of service：10Customer Rating：5.0
Trade Compliance AdvisorStart a Chat
When using an agent for export tax refunds, it is essential to ensure that the agent company has the relevant qualifications. At the same time, pay attention to retaining backups when handing over documents to avoid document loss that may affect the progress of the tax refund.
Daniel KimYears of service：4Customer Rating：5.0
Commodity Inspection and Quarantine ConsultantStart a Chat
Document preparation is crucial. Invoices must be issued correctly, and customs declaration information must be accurate, otherwise, you may encounter problems with tax refunds and delays.
Linda GuoYears of service：3Customer Rating：5.0
Trade Dispute MediatorStart a Chat
If the agent company assists with tax refunds, it is best to stipulate the expected arrival time of the tax refund in the agreement to prevent delays.
Sophia WangYears of service：6Customer Rating：5.0
International Logistics CoordinatorStart a Chat
If you are handling the tax refund yourself, you need to communicate export data with the agent in a timely manner to ensure data consistency, otherwise, problems will arise during declaration.
Kevin HuangYears of service：3Customer Rating：5.0
E-Commerce Export AdvisorStart a Chat
Regardless of who handles the tax refund, you should pay attention to changes in tax policies, as some policy adjustments may affect the tax refund amount and process.
Emma ZhaoYears of service：3Customer Rating：5.0
Export Documentation SpecialistStart a Chat
When an agent handles tax refunds, assess the agent company's reputation and avoid unreliable ones, otherwise, you will have nowhere to turn if there are problems with the tax refund.
Robert TanYears of service：5Customer Rating：5.0
International Market Development AdvisorStart a Chat
Carefully manage timelines such as the export date and invoice date, as these are important for tax refund application deadlines. Do not miss the specified time.
Olivia LiuYears of service：6Customer Rating：5.0
Foreign Exchange Risk ManagerStart a Chat
If the tax refund amount is substantial, it is advisable to seek professional advice on whether it is more cost-effective to handle it yourself or through an agent before making a decision.