On March 12, 2026, the Ministry of Finance, the General Administration of Customs, and the State Administration of Taxation jointly issued the “Announcement on Preferential Tax Policies for Returned Goods Exported by Cross-Border E-Commerce” (No. 16, 2026), clarifying that from January 1, 2026 to December 31, 2027, eligible cross-border e-commerce export returned goods can enjoy tax incentives.
This popular TOP5 policy is like a “timely rain”, bringing good news to cross-border e-commerce export companies that are under pressure and further improving the support system for new foreign trade formats.
Return of goods has always been a common pain point for cross-border e-commerce exports and a “cost burden” for enterprises.
Previously, except for special circumstances, exported returned goods were required to pay import duties, value-added tax, and consumption tax when entering the country, and the duties paid at the time of export were difficult to refund. Coupled with logistics costs, many companies had no choice but to destroy unsalable or returned goods overseas or reduce their prices. This not only caused a waste of resources, but also increased the financial pressure on companies.
The introduction of this policy accurately addresses this pain point and provides strong support for companies to reduce return shipping costs and stabilize development expectations.
Let’s explain the core of the policy in detail. Its preferential intensity and applicable boundaries need to be accurately grasped by enterprises.
The policy is clear. Eligible returned goods can enjoy three major tax preferences: First, they are exempt from import duties, import value-added tax, and consumption tax; second, export duties collected at the time of export are allowed to be refunded; third, value-added tax and consumption tax collected at the time of export are implemented with reference to the tax regulations related to the return of domestically sold goods.
This means that companies no longer need to “pay” for import taxes and fees on returned goods, and can effectively recover sunk costs.
In terms of scope of application, the policy is clearly defined.
First, the supervision codes are limited to 1210 (online shopping bonded import), 9610 (direct purchase import), 9710 (cross-border e-commerce B2B direct export), and 9810 (cross-border e-commerce export overseas warehouse), which basically covers the current mainstream cross-border e-commerce export model; second, the return time limit is within 6 months from the date of export, and the goods under 1210 need to be shipped out of the export area.
Counting from the date of arrival, the discount will not be available after the expiration date; thirdly, the goods must remain in “original condition”, that is, the form when returned is basically the same as when exported, without processing, modification, unpacking, inspection, debugging and other reasonable operations will not affect the identification, and in principle have not been used (except for those found to be of poor quality after trial); fourthly, the scope of goods does not include food, and the reasons for return are limited to unsalable or returned goods.
To ensure the implementation of policy dividends, companies need to master key processes.
First, we need to complete a conditional self-examination to confirm that the goods do not belong to food, are not returned for more than 6 months, remain in their original condition, and are in compliance with the reasons for return; secondly, deal with the tax connection. Enterprises that have applied for export tax refunds need to pay the tax first, and then use the “Certificate of Tax Paid/Non-Refunded for Export Goods” issued by the competent tax authority to handle preferential procedures.
Enterprises that have not yet received a tax refund can directly apply for this certificate; finally, prepare relevant materials, including the original export declaration form, proof of the reason for the return (self-declaration is required for unsaleable goods, and platform records and return agreements are required for returns), description of the original condition of the goods, etc., and declare through the China International Trade “Single Window”. The reason for return must be indicated in the remarks column.
It is worth noting that although the policy reduces the burden on enterprises, the bottom line of compliance cannot be exceeded.
Enterprises need to bear legal responsibility for the authenticity of declaration materials. It is strictly prohibited to evade or cheat taxes by lying about the reasons for return shipments or forging the original condition of the goods. Otherwise, they will be dealt with in accordance with relevant laws and regulations.
At the same time, all declaration materials must be retained for at least 5 years to prepare for follow-up inspections by the customs. It is recommended that enterprises establish special ledgers to achieve traceability of data in exports, returns, taxation and other aspects.
From the perspective of industry impact, the significance of this policy goes far beyond the “tax exemption” itself.
For cross-border e-commerce companies, they should thoroughly understand the policy details in a timely manner, sort out the return shipping process based on their own business models, and fully enjoy the policy dividends.
At the same time, with the help of policy support, we can optimize supply chain management, reduce the risk of slow sales, improve product quality and service levels, and reduce the probability of return shipments from the root cause.
With the implementation of the policy, it is expected to further stimulate the vitality of cross-border e-commerce exports and promote the sustained and healthy development of new foreign trade formats in my country.
