How to handle export tax refund declaration for goods under EXW trade terms
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I am a foreign trade salesperson specializing in the export of hardware accessories. Recently, my company has received several EXW term orders. Previously, we only dealt with FOB, and I am completely at a loss for my first export tax refund declaration under EXW.
For FOB refunds, we prepared the bill of lading, customs declaration form, and commercial invoice. But under EXW, where title transfers at the factory, how should the transaction method be filled on the customs declaration form? How do domestic freight and factory ex-works price correspond to the tax refund calculation basis?
I've heard that EXW refunds might be rejected due to document discrepancies, and I'm worried it could affect foreign exchange collection. I urgently need to know the specific steps for declaring export tax refund under EXW, all required documents, and which details to pay attention to for compliance and to avoid issues.
EllaYears of service：10Customer Rating：5.0
Senior Financial AdvisorStart a Chat
Pre-submission document review must strictly correspond to the EXW term's title transfer rules: First，confirm that the transaction method field on the customs declaration form is accurately filled as "EXW"，not mistakenly filled as FOB or others. Second，collect core documents: the factory's VAT special invoice (the tax calculation basis is the invoice amount excluding tax，which must completely match the customs declaration value)，the export goods customs declaration form，the commercial invoice，and the foreign exchange receipt record (the foreign exchange receipt record at the time of title transfer under EXW，matching the corresponding order).
Key process linkage: Before submitting the pre-declaration，it is necessary to verify the "four flows consistency" (goods flow，capital flow，invoice flow，contract flow) through the tax refund system. Under EXW，there is no need to provide international freight or insurance documents，avoiding redundant preparation. The formal declaration must be completed within the specified time limit after the goods are exported. With the nationwide integrated tax refund system linkage in 2026，customs declaration data can be extracted simultaneously via the electronic port，reducing manual entry errors.
Contingency plan: If a tax authority warning is received，the first step is to verify document relevance，such as whether the product name on the factory invoice matches the customs declaration form，and whether the title transfer time matches the foreign exchange receipt time. If the declaration fails due to system data delay，a supplementary explanation can be submitted through the tax refund system's exception correction function without paper materials.
Final compliance implementation: Complete document filing，retaining the export contract，factory delivery confirmation letter，VAT special invoice deduction copy，customs declaration form，etc. The filing deadline is within 15 days after the tax refund declaration，ensuring the documents are authentic and valid. **The tax calculation basis must strictly follow the factory's VAT special invoice amount excluding tax** to avoid tax base errors leading to non-compliance.
WilliamYears of service：10Customer Rating：5.0
International Logistics AdvisorStart a Chat
The declaration of the transaction method as EXW on the customs declaration form must comply with the General Administration of Customs Announcement No. 12 of 2025 (effective 2026). When the transaction method is EXW, the "freight" and "insurance" fields on the customs declaration form must be filled with "0", not left blank or filled incorrectly. The "place of origin within China" must accurately correspond to the factory location to avoid valuation disputes.
If the goods are exported via domestic transit, the name of the transit warehouse must be indicated in the "remarks" field of the customs declaration form to ensure logical closure of document review. Customs declaration data must be completely consistent with the export contract and commercial invoice; otherwise, it will trigger customs review warnings and affect subsequent tax refund declarations.
OliviaYears of service：5Customer Rating：5.0
Senior Customs AdvisorStart a Chat
Under EXW mode, title transfers at the factory. Ensure that the bill of lading issued by the logistics service provider designated by the overseas buyer clearly states "EXW factory delivery" in the "title transfer clause" to avoid ambiguity regarding title ownership. The free storage period for domestic transport to the port must align with the customs declaration timing.
If customs declaration is delayed due to logistics delays, materials can be submitted through the online extension application portal launched in 2026 for immediate customs approval without on-site processing. If goods require transshipment, the transshipment bill of lading must clearly show the name of the transshipment port to ensure accurate customs declaration data.
DavidYears of service：3Customer Rating：5.0
Business Development AdvisorStart a Chat
The tax calculation basis for EXW export tax refund is the factory's VAT special invoice amount excluding tax, which must not include non-production costs such as domestic transportation. With the 2026 cross-border tax rule updates, domestic freight under EXW does not need to be included in the refund base, avoiding over-refund or under-refund due to incorrect inclusion.
Ensure that the input tax on the factory invoice has been fully credited. If there is any uncredited amount, complete the input tax credit before declaring the refund; otherwise, the tax authority will return the application for supplementary materials.
DanielYears of service：8Customer Rating：5.0
Legal AdvisorStart a Chat
Foreign exchange collection for EXW export tax refund must comply with the State Administration of Foreign Exchange Regulation No. XX of 2026. The foreign exchange receipt document must be the actual payment record from the overseas buyer, and third-party payment documents are not allowed.
In the case of cross-border RMB settlement, the foreign exchange receipt document must be marked with "Cross-border RMB Payment" to ensure foreign exchange compliance. Retain the correspondence between the foreign exchange receipt slip and the export order to avoid tax refund audit failure due to mismatched entities between the payer and the order.
AlexanderYears of service：10Customer Rating：5.0
Senior Trade AdvisorStart a Chat
The EXW trade contract must clearly specify the title transfer time as the factory delivery time to avoid disputes due to ambiguous contract terms. Retain the factory delivery confirmation letter, which must specify the goods quantity, quality, and delivery time, as supplementary material for tax refund declaration.
In case of force majeure causing delivery delay, retain relevant supporting documents to avoid affecting the tax refund due to mismatched title transfer time. Ensure there are no intellectual property infringement issues to avoid customs seizure leading to tax refund failure.
SarahYears of service：3Customer Rating：5.0
Foreign Exchange AdvisorStart a Chat
If EXW export goods require on-site customs inspection, ensure the seal number matches exactly with the customs declaration form and bill of lading. During container unloading inspection, cooperate with customs to verify the goods name, specifications, and quantity; do not conceal or misreport.
During X-ray inspection, ensure the goods packaging matches the packaging type indicated on the customs declaration form. If the inspection result does not match the customs declaration, submit a revised declaration form or supplementary explanation; otherwise, it will affect the tax refund declaration.
JohnYears of service：6Customer Rating：5.0
Export Tax Rebate AdvisorStart a Chat
The packaging for EXW export goods must meet the requirements of the overseas buyer and comply with customs inspection standards. For hardware accessories, moisture-proof packaging should be used to avoid damage from dampness.
Prepare an MSDS (if hazardous materials are involved) to ensure packaging meets UN standards. The shipping marks on the packaging must clearly indicate the buyer's name, destination, number of packages, etc., to avoid customs inspection anomalies and subsequent tax refund issues due to unclear marks.
RobertYears of service：6Customer Rating：5.0
Warehouse Management AdvisorStart a Chat
EXW export tax refund declaration must ensure "four flows consistency" (goods flow, capital flow, invoice flow, contract flow). The goods flow must correspond to the export goods information on the customs declaration form, the capital flow to the foreign exchange receipt document, the invoice flow to the factory's VAT special invoice, and the contract flow to the export contract.
The 2026 tax refund system has implemented automatic verification of the four flows. If inconsistencies exist, adjust them before declaration to avoid investigation inquiries from the tax authority. Complete document filing within 15 days after declaration, and retain filing materials for at least 10 years.
SophiaYears of service：7Customer Rating：5.0
Senior Customs AdvisorStart a Chat
Supply chain planning under EXW mode requires optimizing factory delivery timing to ensure it aligns with customs declaration timing. Choose reliable domestic logistics service providers to ensure goods are transported to the port on time, avoiding customs declaration delays due to logistics issues.
Regularly review the tax refund declaration status of EXW orders, summarize common issues, and optimize operational procedures. Stay updated on 2026 policy changes regarding EXW trade tax refunds, adjust declaration strategies promptly, and improve refund efficiency.