Can freight forwarders deduct the input?

Legal analysis: freight forwarders can deduct the input. Freight forwarding service refers to accepting the entrustment of the consignee, consignor, shipowner, charterer or ship operator, and handling business activities such as cargo transportation, loading and unloading, warehousing, entry and exit, pilotage and berthing for the client in the name of the client, which belongs to brokerage agency service in business auxiliary services. Non-means-of-transport business refers to the business activities in which the operator, as the carrier, signs a transport service contract with the shipper, collects the freight and assumes the responsibility of the carrier, and then entrusts the actual carrier to complete the transport service, and shall pay the value-added tax according to the transport service.

Legal basis: Article 8 of the Implementation Measures for the Pilot Project of Changing Business Tax to Value-added Tax includes business auxiliary services, including enterprise management services, brokerage services, human resources services and safety protection services.

(1) Enterprise management services refer to business activities that provide services such as headquarters management, investment and asset management, market management, property management and daily comprehensive management;

(2) Brokerage agency service refers to all kinds of brokerage, intermediary and agency services. Including financial agents, intellectual property agents, freight forwarders, customs agents, legal agents, real estate agents, professional agents, marriage agents, bookkeeping agents, auctions, etc.

Freight forwarding business refers to the business activities of handling cargo transportation, loading and unloading, warehousing, ship entry and exit, pilotage, berthing and other related procedures for the client in the name of the client by accepting the entrustment of the consignee, consignor, shipowner, charterer or ship operator.

Agency customs declaration service refers to the business activities entrusted by the consignee or consignor of import and export goods to handle customs declaration procedures on his behalf.

(3) Human resources services refer to business activities that provide public employment, labor dispatch, entrusted recruitment of talents, labor outsourcing and other services;

(4) Security services refer to business activities such as providing protection for personal safety and property safety and maintaining social order. Including residential security, special security, security system monitoring and other security services.