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What are the import VAT in Amazon FBA head transportation
by：VIPUTRANS
2020-08-21
To operate trade, cargo transportation, etc., you must understand some relevant import and export finance and taxation knowledge. Sellers who are engaged in Amazon goods must also understand some import and export value-added tax issues of Amazon FBA.
To operate trade, cargo transportation, etc., you must understand some relevant import and export finance and taxation knowledge. Sellers who are engaged in Amazon goods must also understand some import and export value-added tax issues of Amazon FBA. The EU’s fiscal and taxation system is relatively complicated and alternative. Let’s take Germany as an example to talk about the tax types involved in the Amazon FBA first process. Other countries are similar.
1. Tariff
You have to pay tariffs for products that are not welcome in Germany. According to the goods name and HS code, you can check the customs catalog to get the tax rate. With many years of experience in transporting FBA first-haul goods, electronic products generally have no tariffs, and chemical products generally have tariffs. We recommend that AmazonFBA sellers do not choose such products for business and sales. If they are not easy to sell, they need tariffs. Why bother? When our FBA goods are transported, the general freight forwarders will say: prepay tariffs, package tariffs, and pay tariffs. In fact, this The statements are all wrong. They are all referring to value-added tax, and tariffs generally do not exist.
2. Import value-added tax
Goods entering the EU generally have to enter the social food chain for operation and output. The EU stipulates that when entering the EU area, a 20% value-added tax of goods must be paid in advance. The British tax rate is 20%, the Italian tax rate is 21%, the French tax rate is 19.6%, and the German tax rate is 19%. The basis of tax payment is: the amount of the import invoice. Please note that the unit price of the product on the import invoice must be basically reasonable, which is a reasonable low. Import VAT is prepaid, and after the import procedures are completed, it will be refunded to the importer's bank account in a large amount next month. This part of the value-added tax paid in advance of imports is very interesting, and it is the hidden profit point of domestic freight forwarders of all sizes. Profit points come from two points:
3. Sales value-added tax
AmazonFBA sellers have sales on Amazon and have sales income. If they are operating normally and legally, they need to pay sales value-added tax at the same rate as import value-added tax. But the basis of billing is: sales on Amazon, not the invoice amount at the time of import. To operate legally, you need to pay 20% (approximately), which is a challenge and an uncomfortable thing for sellers. If the 20% (about) is not paid, it is a net profit. The risk of illegal operations and a short-term net profit of 20% are the core issues that AmazonFBA sellers need to weigh.
4. Income tax
After deducting product costs, operating costs and sales value-added tax from sales revenue, a certain percentage of income tax is required for net profits. This part of the income tax can be basically flattened when the accounting firm does the accounting. You can manually increase the cost and flatten the profit, and you do not need to pay or pay very little. This is legal.
The European Union's administrative regulations and fiscal and taxation policies are also different in each country. For example, in Germany, they are more rigid, act according to the rules, and are impartial. In Germany, registering a company is prudent and serious. You have to bear the corresponding responsibilities and obligations. The German is a legal person and the real registered address in Germany. No German will do it for you. However, if you follow the rules, he must act and dare not fail. It is the rule of law, not the rule of man. This is a benefit.
The unacceptable risks in business competition also include: being reported. In this flank ball game, the most feared is to report and complain (most of the reports and complaints are colleagues, mostly Chinese), as long as he knows your waybill number, or tax number, or Amazon store, or you You can make a complaint without real-name or cost. There is absolutely no way to guard against this kind of competition, and his reporting cost is very low. Google clicks on information, a phone call, a mail, tax and customs hum and scream for coffee.
When it comes to taxation and customs, their system is silly and stupid, but the basic screening and early warning functions are still there. For example: a company under the name of a vat has imported a lot of goods for several months, but there has been no sales behavior, and there has been no tax payment. This company will be focused on by taxation and customs. We met the customs to check the inventory in the customer's German turnover warehouse. Finally, the customs officer told us that they and the tax system showed that there should be more than 60 tons of goods in the warehouse, which were not sold. They came to see if it was normal. The consignor took them to the warehouse to see and issued a recent running manifest, which was no problem. If it is a vat that specializes in goods, then the whereabouts of the more than 60 tons of goods is the key point. It is impossible to make a difference without telling the ins and outs.
All in all, in the state of illegal business, it is difficult to avoid tax bureau inspections and Amazon screenings, and one check is accurate. The explanation is unclear and cannot be resolved. If you are still trying to find a way in this regard, you want to further try to cross the river, we advise you to invest your limited energy into meaningful things, promotion of marketing, product research and development; in capitalist countries for hundreds of years, loopholes are not easy to exploit. of.
To operate trade, cargo transportation, etc., you must understand some relevant import and export finance and taxation knowledge. Sellers who are engaged in Amazon goods must also understand some import and export value-added tax issues of Amazon FBA. The EU’s fiscal and taxation system is relatively complicated and alternative. Let’s take Germany as an example to talk about the tax types involved in the Amazon FBA first process. Other countries are similar.
1. Tariff
You have to pay tariffs for products that are not welcome in Germany. According to the goods name and HS code, you can check the customs catalog to get the tax rate. With many years of experience in transporting FBA first-haul goods, electronic products generally have no tariffs, and chemical products generally have tariffs. We recommend that AmazonFBA sellers do not choose such products for business and sales. If they are not easy to sell, they need tariffs. Why bother? When our FBA goods are transported, the general freight forwarders will say: prepay tariffs, package tariffs, and pay tariffs. In fact, this The statements are all wrong. They are all referring to value-added tax, and tariffs generally do not exist.
2. Import value-added tax
Goods entering the EU generally have to enter the social food chain for operation and output. The EU stipulates that when entering the EU area, a 20% value-added tax of goods must be paid in advance. The British tax rate is 20%, the Italian tax rate is 21%, the French tax rate is 19.6%, and the German tax rate is 19%. The basis of tax payment is: the amount of the import invoice. Please note that the unit price of the product on the import invoice must be basically reasonable, which is a reasonable low. Import VAT is prepaid, and after the import procedures are completed, it will be refunded to the importer's bank account in a large amount next month. This part of the value-added tax paid in advance of imports is very interesting, and it is the hidden profit point of domestic freight forwarders of all sizes. Profit points come from two points:
3. Sales value-added tax
AmazonFBA sellers have sales on Amazon and have sales income. If they are operating normally and legally, they need to pay sales value-added tax at the same rate as import value-added tax. But the basis of billing is: sales on Amazon, not the invoice amount at the time of import. To operate legally, you need to pay 20% (approximately), which is a challenge and an uncomfortable thing for sellers. If the 20% (about) is not paid, it is a net profit. The risk of illegal operations and a short-term net profit of 20% are the core issues that AmazonFBA sellers need to weigh.
4. Income tax
After deducting product costs, operating costs and sales value-added tax from sales revenue, a certain percentage of income tax is required for net profits. This part of the income tax can be basically flattened when the accounting firm does the accounting. You can manually increase the cost and flatten the profit, and you do not need to pay or pay very little. This is legal.
The European Union's administrative regulations and fiscal and taxation policies are also different in each country. For example, in Germany, they are more rigid, act according to the rules, and are impartial. In Germany, registering a company is prudent and serious. You have to bear the corresponding responsibilities and obligations. The German is a legal person and the real registered address in Germany. No German will do it for you. However, if you follow the rules, he must act and dare not fail. It is the rule of law, not the rule of man. This is a benefit.
The unacceptable risks in business competition also include: being reported. In this flank ball game, the most feared is to report and complain (most of the reports and complaints are colleagues, mostly Chinese), as long as he knows your waybill number, or tax number, or Amazon store, or you You can make a complaint without real-name or cost. There is absolutely no way to guard against this kind of competition, and his reporting cost is very low. Google clicks on information, a phone call, a mail, tax and customs hum and scream for coffee.
When it comes to taxation and customs, their system is silly and stupid, but the basic screening and early warning functions are still there. For example: a company under the name of a vat has imported a lot of goods for several months, but there has been no sales behavior, and there has been no tax payment. This company will be focused on by taxation and customs. We met the customs to check the inventory in the customer's German turnover warehouse. Finally, the customs officer told us that they and the tax system showed that there should be more than 60 tons of goods in the warehouse, which were not sold. They came to see if it was normal. The consignor took them to the warehouse to see and issued a recent running manifest, which was no problem. If it is a vat that specializes in goods, then the whereabouts of the more than 60 tons of goods is the key point. It is impossible to make a difference without telling the ins and outs.
All in all, in the state of illegal business, it is difficult to avoid tax bureau inspections and Amazon screenings, and one check is accurate. The explanation is unclear and cannot be resolved. If you are still trying to find a way in this regard, you want to further try to cross the river, we advise you to invest your limited energy into meaningful things, promotion of marketing, product research and development; in capitalist countries for hundreds of years, loopholes are not easy to exploit. of.
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