Hechi Customs reduces tax pressure on enterprises

Since the beginning of this year, in order to promote the steady growth of foreign trade and help companies overcome the impact of the novel coronavirus (COVID-19) epidemic, Hechi Customs has vigorously promoted the Customs Surety Bond insurance to reduce the burden on enterprises to the greatest extent and to improve customs clearance efficiency.

A Customs Surety Bond is a contract used for guaranteeing that a specific obligation will be fulfilled between Customs and an importer for any given import transaction. The main purpose of a Customs Surety Bond is to guarantee the payment of import duties and taxes.

The customs insurance model is convenient to handle procedures, effective in customs clearance, and reduces the capital occupation of enterprises.

In the first half of this year, Hechi Customs handled 19 Customs Surety Bonds, effectively releasing 35.77 million yuan ($5.15 million) in working capital for enterprises. It is expected that this model will reduce 33.65 million yuan in capital occupation for enterprises in the whole year.

Through the comprehensive application and deepening of the implementation of Customs Surety Bonds, the pressure of enterprise working capital is greatly relieved and the production costs of enterprises are reduced.