Chongqing- The first port of shipment tax rebate was successfully managed at Chongqing Guoyuan Port Monday, making the official implementation of the tax rebate policy for the port of shipment in southwestern China's Chongqing Municipality. 

Shipped from Shanghai Yangshan Bonded Port Area to South Africa via waterway transit direct flight, 400 sets of gasoline engines produced by Briggs & Stratton (Chongqing) Engine Co., Ltd. were exported from Chongqing Guoyuan Port, meeting the requirements of the tax rebate policy for the port of shipment. 

On March 7, the Chongqing Liangjiang New Area Taxation Administration applied for an export tax refund of RMB 25,241.76 (about USD 3996.35), the first port-of-shipment tax refund that benefited from the goods declared at the city port in Chongqing. 

The innovative tax reform initiative

The tax refund policy for ports of shipment is an innovative tax reform initiative made by the government. 

In general, export enterprises need to transport the goods to the exit port and manage customs clearance procedures before applying for a tax refund to the tax department. 

After implementing this tax refund policy, the goods are deemed to be exported after the release procedures at the port of departure while soliciting tax rebates. 

This policy will enable export enterprises to get tax rebates as soon as possible. In the past, Briggs & Stratton (Chongqing) Engine Co., Ltd. routinely applied for a tax refund after the goods departed from Shanghai Yangshan Bonded Port within two months, while it only took half a month this time. 

"The capital turnover has accelerated, and companies are more confident in expanding overseas markets," said a source from the company. 

Chongqing Guoyuan Port 

In January 2018, the government included Chongqing Guoyuan Port in the second batch of tax refund policy for national ports of shipment in the country, as the only one in Chongqing. 

Since the port of shipment's infrastructure construction calls for a certain period, it was not until January 2022 that Chongqing Guoyuan Port officially met all the conditions for implementing the tax refund policy for the port of shipment. 

After this policy's implementation in Chongqing Guoyuan Port, not only can local enterprises benefit from the tax rebate in a faster and more direct way, but also it can drive neighboring cities to gather the cargo sources to Chongqing port, said a competent official. 

Moreover, it greatly improves export enterprises' capital turnover and utilization efficiency in inland areas, shortens the capital occupation cycle, and advantages foreign trade enterprises. 

Located in the core area of China (Chongqing) Pilot Free Trade Zone, Chongqing Guoyuan Port is the essential connection point of the Yangtze River Economic Belt and the Belt and Road Initiative and the significant carrier of China-Singapore(Chongqing) Interconnection Multimodal Transport Demonstration Base. 

It is considered the most extensive water, railway, and public transport hub port in the country's inland rivers. 

The tax refund policy for ports of shipment helps the gathering effect of the land, water, railways of Chongqing Guoyuan Port, further releasing its radiation in the central and western regions, officials said.

Next, relevant departments will continue to optimize service measures and speed up the progress of export tax rebates, boosting the development of Chongqing's open economy.