Processing with materials refers to the business activities that imported materials and parts are provided by overseas enterprises, and the operating enterprises import, process or assemble according to the requirements of overseas enterprises without paying foreign exchange, only charging processing fees, and the finished products are sold by overseas enterprises. Feed processing refers to the business activities of operating enterprises to import materials and parts with foreign exchange payment and export finished products.

The difference between the two is that:

65438+

2, the ownership of goods is different, the ownership of processed products belongs to foreign investors, and the ownership of processed products belongs to operating enterprises;

3. Different modes of operation, processing enterprises with supplied materials are not responsible for profits and losses, but only earn labor costs: processing enterprises with supplied materials make profits and losses independently, purchase materials and spare parts by themselves, and sell finished products by themselves;

4, bear different risks, processing enterprises do not have to bear business risks, processing enterprises must bear all risks in the process of operation;

5. The requirements of customs supervision are different. With the approval of the customs, bonded materials and parts under the processing of incoming materials by operating enterprises are allowed to be exchanged with non-bonded materials and parts within the enterprise. Bonded materials under processing with supplied materials belong to foreign businessmen and cannot be exchanged.

The tax refund method for processing materials with tax refund shall be implemented according to the newly promulgated tax refund rate, and the re-export of processed products with materials shall not be refunded.