Our distributor imports fragrances into China and pays 17% VAT. How much VAT does the distributor get back once the goods are sold to retailers and how long does it takes? Thank you
I am afraid that there is no VAT rebate applicable if the goods are sold in China. But the VAT rebate does apply to exports out of China.
Here is an article I wrote about VAT in China for your reference: What is VAT and why should I worry about it?
Question answered by Mike Bellamy.
Advisory Board Member & Featured Blogger at the not-for-profit China Sourcing Information Center (www.ChinaSourcingInfo.org). Author of “The Essential Reference Guide to China Sourcing” and founder of PassageMaker Sourcing Solutions.