What cross-border e-commerce executives say about new tax rules
Updated: 2016-04-13 15:09
(chinadaily.com.cn)
|
|||||||||
A customer shops at an experience store of a cross-border e-commerce operator in Hangzhou, capital of East China's Zhejiang province, April 7, 2016. [Photo/IC] |
Under the new rules, retail goods purchased online will no longer be treated as personal postal articles but as imported goods, which carry tariffs, import VAT and consumption tax.
Personal postal articles carry a tax of 10 percent, if they are worth less than 1,000 yuan ($154).
Import VAT and consumption tax vary on goods, but combined they are almost certain to exceed 10 percent, though e-commerce consumers will enjoy a 30 percent discount on their taxable amount.
The tariffs for all goods are set at zero, for now, but the new policy only allows a maximum of 2,000 yuan per single cross-border transaction and a maximum of 20,000 yuan per person per year. Goods that exceed these limits will be levied the full tax for general trade.
Let's take a look at some of the responses from major e-commerce platforms on the new rules.
Wu Di, deputy manager of the logistic arm of Vip.com:
The new rules will affect low-price cosmetics the most. The tax rate for such products has increased from zero to about 47 percent. They used to be very popular on cross-border e-commerce platforms, but now operators need to make more efforts in product picks.
Cross-border e-commerce sites should introduce premier products with low prices but high technical content and added value to China, compelling Chinese manufacturers to improve R&D and quality and in turn boosting the country's industrial upgrades and supply-end reform.
We believe that the tax adjustment will serve like a "traffic rule" for our sector, ensuring a brighter development provided everyone follows the rule.
Related Stories
New tax rules on overseas buying to benefit Chinese retailers: Fitch 2016-04-11 08:16
Ministry says e-commerce tax brings no trouble for tourists 2016-04-11 08:05
China's cross-border e-commerce bids farewell to 'tax-free' age 2016-04-09 10:28
Online sites won't pass new taxes on to consumers, for now 2016-04-09 07:47
JD works with Yamato to speed up cross-border e-commerce delivery 2016-04-07 07:49
Today's Top News
Russia-China ties benefit both countries, peoples
China, UK showcase best books in London
Hello, China! Stephen Hawking debuts Weibo account
Manila set to restart revamp of airport in S China Sea
Forget cabs, now you can book plane through apps
Britain and China must join to solve steel crisis, ambassador says
Chinese soccer aims to be among world top teams by 2050
E-commerce tax not applicable on travelers,
says ministry
Hot Topics
Lunar probe , China growth forecasts, Emission rules get tougher, China seen through 'colored lens', International board,
Editor's Picks
Seeking stars from hollywood |
Riding on emotions |
When the Bard met his Chinese match |
Premier: Tax reform to boost vitality |
Digital trends: What we'll see in 2016 |
Vis-a-vis visas, Europe plays |