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If we are exporting product from Malaysia into China and the duty is 0%, do we still need to pay the 17% value added tax?
Hello, If we are exporting product from Malaysia into China and the duty is 0%, do we still need to pay the 17% value added tax, and if so, on what value is the tax calculated? Thanks, Alvaro
By  
alvaroc
19/07/2010
Keywords:
2010-07-19
Dear Sir or Madam,
 
Thanks for your attention to ETCN!
 
If you have checked the VAT rate for your product exporting to China is 17%, then you need to pay the VAT no matter the duty is 0% or not. The tax is calculated based on CIF price.
 
If you have any question about Customs clearance in China, please feel free to contact us.