China widens departure port tax refund pilot

China on Thursday announced the expansion of a program for exporters to get a tax refund at departure ports, which should shorten their tax refund period, researchers said.

Starting on Sept 1, the pilot will be applied at a total of eight ports - Nanjing, Suzhou, Lianyungang, and Qingdao in coastal areas, and the ports of Wuhu, Jiujiang, Wuhan and Yueyang in Central China, according to a statement of the Ministry of Finance, General Administration of Customs and State Administration of Taxation.

The authorities initiated the pilot in August 2012 at the ports of Qingdao and Wuhan. Qualified exporters will get their refunds at the departure ports once their cargo departs from these ports and is shipped abroad via the Yangshan Port Bonded Area, part of the China (Shanghai) Pilot Free Trade Zone.