The chairman of the International Chamber of Shipping (ICS), Masamichi Morooka, has written to the Chinese minister of finance to encourage the country’s government to continue its efforts to find a solution to the problems created by the application of value added tax (VAT). Wholly foreign-owned shipping companies are finding it harder than Chinese companies to reclaim the 6% VAT (and a 0.8% VAT surcharge on ocean freight) that is collected by shipping agencies in China, and so avoid passing this on to their overseas customers.
Source: ITJ (International Transport Journal). Read news here
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