Cross-border e-commerce realizes transactions through online platforms. There are no traditional foreign trade contract invoices. For many cross-border enterprises with large volumes, it is a big problem to apply for customs declaration for each shipment. If the export does not go through the customs tariff system, it will not generate operational customs data. Without data, there will be no tax refund. This is also the biggest bottleneck for many cross-border enterprises to go public overseas. Moreover, from an orthodox corporate development perspective, long-term failure to declare exports may also face more serious legal risks. Now we are pleased to see that the market value and market prospects of cross-border e-commerce have been valued. Customs clearance and taxation, which were once considered pain points by cross-border e-commerce, have also ushered in new opportunities under the support and promotion of the Chinese government.
In 2013, the China (Hangzhou) Cross-border E-commerce Comprehensive Pilot Zone was approved for establishment, becoming China’s first cross-border e-commerce comprehensive pilot zone. The new customs clearance model of the Hangzhou Cross-border E-commerce Comprehensive Pilot Park has brought convenience to cross-border enterprises and consumers, and opened up a road of innovation and exploration for the facilitation of customs clearance for China’s cross-border e-commerce.
Hangzhou Customs has implemented a new customs clearance model of “list verification and release, centralized taxation, withholding and payment” for cross-border e-commerce, achieving full coverage of the pilot model of cross-border e-commerce import and export B2B and B2C, and the declaration process will be further simplified.
* Gradual supervision and simplified process.
For e-commerce export goods that do not involve export taxation, export tax rebates, license management, and are within RMB 5,000, e-commerce companies can simplify declarations according to regulations and speed up customs clearance.
* Paperless customs clearance.
The customs has specially designed a paperless process for cross-border e-commerce companies that integrates enterprise filing, declaration, taxation, inspection, release, transfer and other links. Before declaring imports and exports, e-commerce companies submit electronic information such as orders, payments, logistics, and related electronic data to the customs through the cross-border e-commerce customs clearance service platform, and can complete customs import and export declarations without submitting paper documents.
The greatest significance of the “Hangzhou Cross-border Model” established in 2013 is that the government has started innovation and exploration for China’s cross-border e-commerce, setting an example for the promotion of related experience models in China in the future. Moreover, the application and promotion of the Hangzhou model has promoted the healthy development of China’s cross-border e-commerce and the cross-border e-commerce environment.