Export VAT refund in China

What this service is

When goods are bought within China, Chinese VAT is already built into the price. On export the state refunds this tax — but only a Chinese exporting company that bought out the goods with correct documents and filed an export declaration can obtain the refund. A foreign company can't reclaim it directly.

We buy out your goods to our Chinese company and handle the export ourselves. This is needed in any case if the supplier has no export license of its own. But here begins the difference between us and most companies on the market.

Where we differ

When another company buys out goods to its Chinese firm, one of two things usually happens — and both times not in your favor:

• They charge a commission for handling the deal through their company — meaning you pay extra just for the fact that the buyout goes to their legal entity.
• They keep the VAT refund for themselves. The refund is received by the Chinese exporting company (i.e., them), and often this amount is simply not shown to the client or handed over — it stays their hidden margin.

We do the opposite:

• We don't charge a commission for handling the deal through our Chinese company.
• We refund you your share of the VAT that we manage to take as a deduction on your shipment.

Where an ordinary intermediary earns on you twice — with a commission and withheld VAT — we return that money to you.

How it works

1. We buy out the goods to our Chinese company. With the correct documents, without which a refund is impossible.
2. We file the export declaration. The goods legally leave China to our exporting company — that's the basis for the refund.
3. We file for the VAT refund. The Chinese tax authorities review the application and confirm the export.
4. We refund you your share. Once the refund reaches us, we pass you your share of the VAT taken as a deduction on your deal.

Important caveats

A VAT refund is real money, but not instant and not guaranteed. To avoid false expectations, we say it plainly:

• Timelines. The refund takes 3 to 6 months. It's not a top-up to the deal here and now, but money that comes later.
• Refusal is possible. The Chinese authorities may refuse a refund on a specific shipment. If that happens — we send you the official response from the tax authorities confirming the refusal. So you can see the VAT didn't 'settle' with us but genuinely wasn't refunded.

We don't promise a guaranteed refund — we promise honesty: we'll return your share if the refund goes through, and document it if it's refused.

What you get

• Buyout of the goods to our Chinese company with no commission for handling the deal.
• A refund of your share of the export VAT taken as a deduction on the shipment.
• A legally formalized export — suitable for official import into Russia.
• Transparency: in case of refusal — official confirmation from the Chinese authorities.

Frequently asked questions