Nansha offers preferential taxation to intl shipping businesses

Preferential taxation for international shipping businesses will be carried out in part of the Guangdong-Hong Kong-Macao Greater Bay Area from Oct 1, 2020 to Dec 31, 2023 for its higher level opening-up efforts, officials announced during the State Council executive meeting held on Oct 9.

Cargo transported by water that has departed from 37 ports in nine cities in the Pearl River Delta and are exported from the Nansha and Qianhai areas of the Guangdong (China) Pilot Free Trade Zone can enjoy the preferential taxation. 

"The tax reimbursement of cargo can only be handled when it leaves the border from Nansha Port and the owner of the cargo may have to wait for at least half a month to get the tax rebate," said Hong Yibin, a staff member from Guangzhou Port Nansha Port Co Ltd.

Hong added that the preferential policy allows owners to handle tax reimbursement when the cargo leaves the port of departure, contributing to their company's capital flow.  

It is expected that the preferential policy will help attract more foreign trade companies and shipping logistics companies to cluster in Nansha, effectively elevating Nansha's position as a shipping hub.

Opportunities for optimizing the shipping insurance market in Nansha will be available as the preferential taxation for international shipping insurance is also available in the area.