Export Compliance Daily is a Warren News publication.

Chinese Clarification on Controversial Six Percent Tax on Freight Expected, Says FMC

The U.S. State Department told Federal Maritime Commissioner Will Doyle that China is preparing a "circular to address the issues in the transportation and logistics sector" in response to the application of Chinese Value Added Taxes (VAT) to freight charges,…

Sign up for a free preview to unlock the rest of this article

Export Compliance Daily combines U.S. export control news, foreign border import regulation and policy developments into a single daily information service that reliably informs its trade professional readers about important current issues affecting their operations.

he said in a press release. "According to the State Department, any guidance and clarification provided with respect to the VAT circular would have a retroactive application to August 1, 2013," he said. Freight charges recently said to be subject to a new 6 percent tax after the expansion of China VAT raised red flags at the FMC and among shipping companies (see 13080111).