With the rapid development of cross-border e-commerce, more and more sellers are beginning to get involved in the import business. In the import business, value-added tax is an important cost that affects the profits and competitiveness of cross-border e-commerce sellers. Therefore, understanding how to deduct cross-border e-commerce import VAT has become essential knowledge for sellers. This article will introduce you to the relevant knowledge and precautions for cross-border e-commerce import VAT deduction.
1. The scope of application of cross-border e-commerce import value-added tax.
In cross-border e-commerce import business, value-added tax is an important cost. According to the regulations of the State Administration of Taxation, the applicable scope of cross-border e-commerce import value-added tax includes the following two aspects:
Cross-border e-commerce import comprehensive tax. According to the regulations of the State Administration of Taxation, cross-border e-commerce import comprehensive tax refers to the comprehensive tax that cross-border e-commerce sellers need to pay when purchasing imported goods on cross-border e-commerce platforms. The tax rate is 11.9%.
General taxpayers are subject to import VAT. General taxpayer import VAT refers to the VAT that cross-border e-commerce sellers need to pay when purchasing goods from overseas suppliers. The tax rate is 13%.
2. Precautions for cross-border e-commerce import VAT deduction.
For cross-border e-commerce sellers, how to deduct cross-border e-commerce import VAT is an issue that requires attention. Here are some things to note:
Qualification requirements. Cross-border e-commerce sellers need to register as general taxpayers with the tax bureau and generate tax returns and invoices through the automated billing system in order to apply for VAT deduction.
Deduction period. Cross-border e-commerce sellers need to fill in the purchase invoice in the general taxpayer VAT return form to apply for VAT deduction. The VAT deduction period is within the tax payment period.
Declaration process. Cross-border e-commerce sellers need to fill in the relevant information of the purchase invoice in the value-added tax return form, and upload supporting documents such as scanned copies of the purchase invoice. The tax department will conduct an audit based on relevant supporting documents and will return the deducted VAT amount to the seller’s account after passing the audit.
Deduction restrictions. According to the regulations of the State Administration of Taxation, there are certain restrictions on the deduction of cross-border e-commerce import comprehensive tax and general taxpayer import value-added tax, and sellers need to operate according to specific regulations. Specifically, cross-border e-commerce import comprehensive tax can only be deducted within the reporting period, and is not allowed to exceed the limit of tax payable; there are also certain restrictions on the amount of import VAT deduction for general taxpayers, which cannot More than 50% of imported goods sales.
Relevant supporting documents. Sellers need to keep relevant supporting documents, including purchase invoices, cross-border e-commerce platform shopping lists, payment vouchers, etc., for review and inspection by the tax department.
3. Advantages of cross-border e-commerce import value-added tax deduction.
Cross-border e-commerce import VAT deduction can not only reduce sellers’ operating costs, but also bring the following advantages:
Improve the competitiveness of goods. By deducting cross-border e-commerce import VAT, sellers can reduce costs, reduce selling prices, and improve the competitiveness of goods.
Promote product innovation and brand building. By deducting cross-border e-commerce import VAT, sellers can obtain more financial support and promote product innovation and brand building.
Optimize consumer shopping experience. By deducting cross-border e-commerce import VAT, sellers can provide better after-sales services, optimize consumers’ shopping experience, and enhance consumers’ purchasing confidence and loyalty.
In short, cross-border e-commerce import VAT deduction is one of the necessary knowledge for cross-border e-commerce sellers. Sellers need to understand the applicable scope and precautions of cross-border e-commerce import VAT, and abide by relevant regulations and processes to reduce costs, improve the competitiveness of goods, and promote brand building. Through reasonable deductions, cross-border e-commerce sellers can obtain more business and development opportunities in the fierce market competition.