Ordering in bulk from China can be a big step for any influencer, vlogger or e-commerce shop. Previously, you might not have any products at all or maybe you have been dropshipping to your end consumer. By buying in bulk you can finally have the huge benefits of fast shipping times, competitive pricing, and high-quality branded products. When this moment comes, Scale Roads wants to give you two tips:
Economic Operators Registration and Identification number (EORI number) is a European Union registration and identification number for businesses which undertake the import or export of goods into or out of the EU. In order to import bulk goods from China, this number is required. Normally, this EORI-number takes 1-2 days to receive and it’s free to get. If you company doesn’t want to import goods, Scale Roads can help by being the import company.
VAT article 23
If you import goods from a non-EU country, you must pay VAT. You normally do this at customs with the so-called import declaration. You deduct this VAT as import tax in your VAT return forms if you are entitled to deduct VAT. You can also state the VAT on import in your VAT return. You must then apply in writing for an Article 23 permit from your tax office. You do not have to pay VAT at customs. Instead, you state the VAT in your VAT return form. Are you entitled to deduct VAT? Then you can also deduct this VAT as input tax in your tax return. You then pay nothing on the balance. An Article 23 is not required to import bulk goods from China, but it has a positive impact on your cash flow. Applying for article 23 is free and will take around 5-6 weeks to receive.
Are the above two tips not enough information? Reach out to Scale Roads about how we can help you with your bulk ordering from China. We will guide you through the process and get you the great benefits from ordering in China with Scale Roads.
Note: The above mentioned tips are applying for European law. Are you located in the US or somewhere else? Please reach out to us how we can help you with getting your bulk orders.