China Europe train is an important railway freight channel between China, the European Union and the United Kingdom. In recent years, it has become a popular choice for cross-border e-commerce and international trade because of its high efficiency and stability. The China-Europe train provides two service models, including tariff and Postpone VAT Accounting, each with its own advantages and service details.
Advantages and services of DDP
Advantages:
1. Simplify the process:
- The DDP service covers customs clearance procedures and taxes for exports and imports. The seller does not need to deal with tax issues separately, and the operation is simple.
2. Cost transparency:
- One-time packaging of expenses, including transportation, customs clearance, taxes, etc., to avoid additional expenses.
3. Time stability:
- The time limit for China-Europe train transportation is stable, usually 15-20 days to reach the main European destinations, faster than sea transportation and more economical than air transportation.
4.Suitable for SMEs:
- DDP services lower the threshold for cross-border trade and are particularly suitable for small and medium-sized enterprises with no tax experience.
VAT Deferred Benefits and Services
Advantages:
1. Tax Compliance:
- Postpone VAT Accounting meets EU tax requirements, if you want to operate in the European market for a long time, legal and compliant operation must be put on the agenda.
2. Cash flow optimization:
- Through Postponed VAT Accounting, companies do not have to pay VAT at the time of import, Taxes are withheld by the platform after the goods are sold, improving cash flow.
3. Cost controllable:
- Enterprises can manage their own taxes and reasonably plan tax costs.
4. Suitable for large enterprises:
- Suitable for large enterprises with tax teams or professional consultants, able to process VAT filings and deductions efficiently.
5. Postpone VAT Accounting: enterprises are required to regularly submit VAT declaration forms to the tax authorities for VAT deduction or payment.
Service Details
1. Pick up goods: pick up goods from Chinese suppliers or warehouses, carry out goods inspection and packaging.
2. Rail transport: goods are transported to major European hubs (e. G. Malasevic, Poland, Hamburg, Germany, etc.) through the Central European train.
3. Customs clearance: KCO logistics will assist in completing customs clearance procedures for export and destination countries, and enterprises will provide VAT tax numbers and declare VAT on their own.
4. Dispatch: dispatch goods to designated warehouse or FBA warehouse through European local logistics.
5. VAT declaration: enterprises are required to regularly submit VAT declaration forms to the tax authorities for VAT deduction or payment.
6. Route:
DDP Service: Shenzhen container-Chongqing/Chengdu departure-Alashankou-Russia-Belarus-Poland-Hungary customs clearance-UPS/DPD/GLS/truck
Postpone VAT Accounting: Shenzhen Container-Chongqing/Chengdu Deparment-Alashankou-Russia-Belarus-Poland-Belgium Customs Clearance-UPS/DPD/GLS/Truck
Suggestions on Selection of DDP Service and Postpone VAT Accounting
1. DDP service:
- Suitable for SMB or sellers with no tax experience.
- The volume of goods is small, so there is no need to deal with tax issues frequently.
- Want to simplify processes and reduce operating costs.
2. Postpone VAT Accounting:
- Suitable for large businesses or sellers with a professional tax team.
- Large cargo volume, long-term operation in the European market.
- Hope to optimize cash flow and reduce tax costs through Postpone VAT Accounting.
