I.Export RepresentationWhich taxes does the company need to pay on behalf of clients?

In accordance with the current "Provisional Regulations of the People's Republic of China on Value-Added Tax" andExport DrawbackPolicies: Formal export agency companies primarily handle three types of tax payments:

• VAT treatment
  • Buy-out agency: The agency company declares output tax based on the full amount of the goods and applies for tax refund with input invoices.
  • Commission-based agency: Only the service commission portion is subject to a 6% value-added tax.
• Corporate Income Tax: It is levied at 25% of the total annual profit, and the agency fee income is included in the taxable income.
• Customs duties and import-related taxes: InvolveEntrepot TradeWhen importing, it is necessary to declare and pay tariffs, consumption taxes, and other duties in accordance with the law.

II. Can entrusting an agent for export enjoy the tax rebate policy?

The latest policy for 2025 clarifies that tax refunds can still be applied for through agency exports, but three conditions must be met:

• Export enterprises must complete the formalities for(Note: Specific handling items are hidden here, and the agency company needs to provide operational guidance.)
• The goods have actually left the country and obtained the customs-issuedExport Clearanceform
• The agency company has the qualification of a general taxpayer.

Special Reminder: The updated customs declaration form completion specifications issued by the General Administration of Customs in 2024 require that...(Note: The specific terms for the year need to be provided by the agency here.), directly affecting the legality of the tax refund documents.

III. Differences in Tax Treatment Under Different Agency Models

• Buyout agency (export in the name of self-operation)

  Tax characteristics:

  • The agency company, as the seller in the legal sense,
  • A special VAT invoice needs to be issued to the customer.
  • The tax refund funds are collected by the agency company account.
• Entrusted agency (dual-header customs declaration)

  Key Operation Points:

  • The customs declaration form must simultaneously display information of both the manufacturer and the agent company.
  • The entity eligible for tax refund remains the actual exporting enterprise.
  • Agency fees are accounted for separately to avoid commingling with operating income.

IV.foreign tradeThree Major Tax Risks Businesses Must Be Aware Of

• Document Management Risk

  Tax bureau investigations across multiple regions in 2025 reveal: 46% of export tax rebate disputes stem from(Note: The specific risk case examples need to be supplemented by the agency here.)

• Monitoring of Fund Reflux

  The latest regulatory system of the State Administration of Foreign Exchange can automatically perform cross-checks.(Note: The specific regulatory measures here need to be updated by the agency.)

• Pricing of related party transactions

  Cross-border service fee payments must comply with the arm's length principle to avoid being deemed as profit shifting.

V. How to Verify the Tax Compliance of an Agency Company?

It is recommended that the client request the agency to provide:

• Tax Credit Rating Certificate for the Past Three Years (Must be at Level B or Above)
• Copy of the Customs AEO Certification.
• Export Tax Rebate Account Custodian Bank Qualification Documents
• Recent Quarterly VAT Return (Desensitized)

(Note: This article is written based on current tax laws and regulations. For specific operations, please refer to the interpretation of the competent tax authorities. It is recommended that foreign trade enterprises sign a "Tax Compliance Commitment Letter" with their agents to clarify the rights and obligations of both parties.)