The Ministry of Finance ("MOF") released on February 1, 2023 the Announcement on the Tax Policy for Returned Cross-border E-commerce Exports (No.4 (2023) of the MOF, the General Administration of Customs and the State Taxation Administration), in an effort to support the development of new forms of foreign trade.
Import duties, import value-added tax ("VAT") and consumption tax would be exempted for goods (excluding food) of which exporters declare export under the cross-border e-commerce Customs supervision codes (1210, 9610, 9710 and 9810) within one year from January 30, 2023, and that are returned within six months from the date of export due to dull sale or return, export duties levied at the time of export can be refunded, VAT and consumption tax levied at the time of export would be subject to the applicable tax rules for the return of goods sold domestically, and export tax rebate that has been made should be paid back according to existing rules, according to the Announcement.