Customs classification service reduces tariffs

In view of the fact that some companies declare low-tax products as high-tax products when importing liquefied petroleum gas, the Tax Administration Bureau of the General Administration of Customs (Guangzhou) and the customs of Manzhouli, Changchun, Harbin, and Urumqi jointly conducted analysis and judgment, through online presentations and coordination Disposal and other methods are provided to provide enterprises with accurate and timely customs commodity classification services to further improve the accuracy of commodity classification. It is expected that the tax burden of relevant enterprises can be reduced by 10 million yuan throughout the year.

According to the 2020 version of the 'Import and Export Tariffs of the People's Republic of China', LPG involves a total of 4 8-digit tariff lines and 3 different tariff rates, with tariff rates of 1%, 3% and 5% respectively. According to statistics, from January to May this year, the import of LPG and other hydrocarbon gases not listed under the national customs number 27111990 was 74,900 tons, with a value of 214 million yuan.

Since the industry’s classification standards for liquefied petroleum gas and the customs classification standards are not completely consistent, errors in the classification of enterprises’ import declarations sometimes occur. 'Because of the inadequate understanding of the policy, we will not only lose profits, but also affect the timeliness of customs clearance.' Chen Dianhui, manager of the customs declaration department of Manzhouli Far East Gas Co., Ltd. reflects.

Relevant customs directly connected with enterprises actively conducted surveys to industry associations and oil and gas companies by issuing online questionnaires, emails, and telephone calls to understand the current domestic LPG market supply and demand, factory resumption, receiving station inventory, tank truck transportation, etc.

The Tax Administration Bureau (Guangzhou) of the General Administration of Customs (Guangzhou) takes full advantage of the technical functions of tariffs, proactively contact the relevant directly affiliated customs tariff functional departments to obtain background information, convene the customs of the main importing places to carry out centralized work, discuss and determine the work model and steps to solve the problem.

Recently, the Tax Collection and Administration Bureau (Guangzhou) of the General Administration of Customs has launched online live broadcasts to 11 importing liquefied petroleum gas companies in Manzhouli, Changchun, Harbin, and Urumqi, clarifying the classification principles and standard declaration requirements to the companies. At the same time, it guides each business site to verify and dispose of historical customs declarations that require tax refunds, refine operational guidelines, and guide enterprises to accurately declare compliance.

'Our company has received nearly 1 million yuan of tax rebates classified by the customs, which is the most direct help in solving corporate funds.' Chen Dianhui said happily.

The relevant person in charge of the Tax Administration Bureau (Guangzhou) of the General Administration of Customs stated that in the next step, the Tax Administration (Guangzhou) will continue to promote the standardized management of the industry based on the 'industry + enterprise' management model, help safeguard the legitimate rights and interests of enterprises, and support the expansion of enterprises. For export, continue to optimize the business environment at ports. (Author: Guan Yue Tang Guijiang)