Overseas warehouse taxes mainly refer to a series of fees that need to be paid in accordance with the relevant import goods policies of the government of the country (region) when the goods are exported to the destination country (region). Tariffs mainly refer to import tariffs. Some countries (regions) will also charge some specific fees, such as value-added tax, consumption and service tax, etc.
Import duty is a tariff imposed by the customs of a country on imported goods. It can be said that import tariffs are a type of tax that cannot be avoided by imported products. It will increase the cost of imported products and increase the selling price of products in the destination country (region) market.
Value-added tax (VAT) refers to the tax collected by the importer on behalf of the State Taxation Bureau from consumers when selling goods or providing services in the importing country (region), or importing goods from abroad into the country. Whether to pay value-added tax depends on the company’s place of registration, the value-added tax threshold of European countries, whether there is inventory in the local area, etc.
Most European countries (regions) allow sellers to register for value-added tax online on the website of the local tax agency. This part of the fee will eventually be added to the selling price. Under legal circumstances, any product that enters the market will inevitably pay value-added tax. The situation of VAT between members within the EU is relatively complicated, but it can still be understood as “no double collection”.
If the seller stores the goods in any European country (region), or the seller’s sales in a European country (region) exceed the local distance sales threshold, it may be necessary to register for VAT in this country (region).
The so-called distance sales threshold means that each European country (region) has set a distance sales threshold for VAT tax number registration for companies that sell goods from other European countries (regions) to consumers in their own country (region). If the company’s sales in the same calendar year exceed this threshold, the company may need to register a VAT tax number locally in the place of sale.