Proper handling in international tradeExport tax refundRegistering is a key element in ensuring that can export and recover taxes that have been paid smoothly. It is especially important to understand their applicability and restrictions when using specific types of transportation documents such as the Forwarder's Certificate of Receipt (FCR).Export tax refundThe feasibility of the record and relevant regulatory requirements.

Functions and Limits of FCR

The FCR certificate is a certificate issued by a freight agent that proves that it has received the goods and promises to transport them to a specified destination. Although the FCR certificate can be used as a trade certificate in some cases, it is essentially not a carrier’s transportation document. Therefore, in customs and tax examinations, the FCR certificate is generally not accepted as a transportation document to support an application for export refund.

The Importance of Maritime Listings

The shipping certificate is issued by the carrier or its agent to prove that the goods have been received and promised to be transported to the destination in accordance with agreed conditions. It is a generally accepted transportation document in international trade, with the legal function of the shipping contract and the function of the transfer of goods rights. Therefore, for records of export refunds, the shipping certificate provides a guarantee that the goods have indeed left the country, thus meeting the conditions for the refund.

Requirements for export tax refunds

In accordance with the "Announcement of the State Administration of Taxation on Further Facilitating the Export Refund Handling and Promoting the Sustainable Development of Foreign Trade" (No. 9 of 2022), the registration certificate management of export refunds has been detailed:
1) Type of documentation:
Contracts for the purchase and sale of exporting enterprises. Transportation documents for exporting goods, including shipping receipts, air freight receipts, etc. Relevant documents for customs reporting.
(2) Preservation of documentation:
Taxpayers must properly retain the documentation document within 15 days of declaring the export refund. The documentation documentation must be arranged in time order, and a directory should be made, indicating the way of storage. The retention period is 5 years.
Form of single certificate:
Taxpayers can choose to keep records in paper, imaged or digital forms. For inspection, electronic documents must be converted to paper and enterprise stamped.

Solutions and recommendations

Communication and Confirmation:In-depth communication with the freight agent to confirm whether it is possible to obtain a formal shipping receipt or other transportation documents that meet the tax requirements.
Supplementary documents:If it is not possible to obtain a shipping certificate, you can ask the carrier if there are other forms of transportation documents or additional documentation that may be accepted by the tax authority for the refund record.
and professional advice:Consider consulting trade advisors specialists who can provide specific operational advice and help solve documentation problems.
Management of documentation:In accordance with the requirements of the State Administration of Taxation, properly manage all relevant certificates, and produce a catalogue of export refund registration certificates to ensure the accuracy and completeness of all documents to be checked by the tax authorities.

In summary, FCR documents are generally not a substitute for shipment bills for export refund records. When dealing with export refund cases, the best practice is to use transport documents explicitly approved by customs and tax authorities. By ensuring compliance with all documents, export refunds can be made more smoothly, thereby reducing potential financial risks and delays.