What is "factory transfer"? It means that the export products produced and processed by a joint venture or a foreign-funded processing enterprise in the mainland of China are transferred to another joint venture or a foreign-funded processing enterprise in the mainland for assembly and processing. From the point of view of commodity circulation,' transferring factories' is a domestic transaction. However, because the products produced and processed are export products, the two parties to the transaction are mostly foreign-funded or joint ventures, and the settlement is made in foreign exchange abroad,' factory transfer' is regarded as a part of processing trade.

Why change factories?

If the customer asks you to change factories, it must be a foreign-funded enterprise or a foreign order. Because foreign-funded enterprises have their processing trade contracts, they must abide by the fact that all materials must come from abroad. A large number of foreign-funded enterprises originally moved from Hong Kong, and then the state supervised the processing trade enterprises, so the state issued them processing trade manuals, mainly to supervise their operations and processing.

Three, there are two modes of factory transfer: mode one: two processing trade enterprises transfer factories before, that is, deep processing carry-over. Mode 2: carry-over between general trading enterprises and processing trading enterprises, that is, transfer from bonded area to factory (one-day tour in bonded area). Note: If your company is a domestic general trading enterprise (including enterprises with or without import and export rights) and wants to transfer products to processing trading enterprises (processing with supplied materials or processing with supplied materials), then you need to use the second mode: bonded area transfer.

4. Can I get a tax refund after verification?

The factory transfer verification can only be carried out in the bonded area before the tax refund can be made. Deep processing is carried forward and not returned. Only by using the bonded area to transfer factories can the tax refund be made. At this time, the transferor is the export tax rebate, and the transferee is equivalent to importing from abroad.