I.Agency export,What legal consequences arise from non-receipt of foreign exchange?

According to the 2025 latest Foreign Exchange Management Guidelines for Goods Trade, agency export businesses must complete foreign exchange verification procedures. Failure to collect foreign exchange as required will face:

• Foreign exchange management penalties: May be listed as Class B/C enterprises by SAFE, requiring case-by-case declaration for single receipts
• Tax risks: Ineligible forExport tax refund, with risk of recovering already rebated taxes
• Customs credit downgrade: Affects enterprise customs credit rating, increasing inspection rates
• Criminal liability risks: Large amounts may constitute foreign exchange evasion (Criminal Law Article 190)

How to compliantly handle non-receipt of foreign exchange in agency exports?

Three compliant handling solutions are recommended:

• Solution 1: Direct foreign exchange collection by consignor
  • Requires clear collection responsibility in agency agreement
  • Submit Export Income Overseas Deposit Registration Form for filing
• Option 2: Agents Split Accounting Processing
  • Agent collects foreign exchange and transfers to the principal
  • Requires signing a tripartite agreement (including SAFE)
• Option 3: Third-party Payment Platform Involvement
  • Using Cross-border Interbank Payment System (CIPS)
  • Must comply with PBOCs Cross-border RMB Settlement Management Measures

How is foreign exchange verification specifically operated?

2025 New Foreign Exchange Verification Process:

• Step 1: Data Reporting
  • Report via Digital SAFE Platform within 30 days after customs declaration
  • Must match customs declaration numbers with foreign exchange receipt voucher numbers
• Step 2: Discrepancy Report
  • Submit explanation if foreign exchange receipt difference exceeds ±500 USD
  • Late reporting will affect classification rating
• Step 3: Annual Verification
  • Complete self-inspection of previous years foreign exchange business by end of March each year
  • Focus on verifying agent business payment/receipt matching

How to handle special circumstances?

Recommendations for special trade scenarios:

• Cross-border e-commerce model: Declare using 9710/9810 supervision codes
• Market procurement trade: Adopt 1039 supervision method for centralized foreign exchange receipts
• Foreign Trade Comprehensive Service Platform Agency: It is necessary to confirm whether the platform has the "dual-title" qualification.

What are the new changes in 2025 tax treatment?

SAT Announcement No. 1 of 2025 clarifies:

• Agent export business must register principal-agent relationship in e-tax system
• Tax refund application requires scanned copies of original bank foreign exchange receipt slips
• Foreign exchange receipt period shortened from 9 to 6 months (except for special goods like medical devices)

How to prevent foreign exchange collection risks in agency exports?

Recommended preventive measures:

• Contract Terms: Clarify foreign exchange payment/receipt responsibilities and default clauses
• Qualification Review: Verify agents foreign exchange classification rating (Class A/B/C)
• Funds supervisionIt is recommended to use a bank escrow account
• Professional consultationCommission an accounting firm with SAFE registration for auditing