China's State Taxation Administration (STA) has unveiled a progressive tax refund policy aimed at bolstering cross-border e-commerce exports. Outlined in STA Announcement [2025] No. 3, the policy introduces a "tax refund upon departure" mechanism for goods exported through overseas warehouses under customs supervision code "9810." This initiative is designed to streamline the tax refund process, expedite refunds, and reduce operational costs for enterprises, thereby enhancing their global competitiveness.
Key Features of the Policy:
Immediate Tax Refunds: Exporters can now apply for tax refunds immediately after customs clearance. For goods already sold, existing regulations remain applicable. Unsold goods will follow a "refund upon departure, recalculation upon sale" procedure.
Pre-Refund Application Process: Exporters are required to submit export declarations and relevant documentation to their local tax authorities, including an "overseas warehouse pre-refund" identifier. Applications can be made separately for sold and unsold goods or combined if no distinction is necessary.
Reconciliation Requirements: Post pre-refund, exporters must complete a reconciliation process within a specified timeframe (from the first day of the month following the pre-refund to April 30 of the subsequent year). Failure to reconcile within this period may result in the recovery of the pre-refunded amount by tax authorities.
Documentation and Compliance: Exporters must maintain accurate records, including overseas warehouse-related materials and sales evidence, to support their refund claims. Tax authorities will conduct verifications to ensure compliance and accuracy in declarations.
This policy reflects China's commitment to fostering a conducive environment for cross-border e-commerce, providing financial relief, and promoting the growth of enterprises in the international market.
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