How to Issue GUI when the Business Operators Engaged in Overseas Consignment Purchasing
The Taipei National Taxation Bureau of the Ministry of Finance has stated that with the growing trend of overseas online shopping, business operators involved in purchasing services should, when delivering purchased goods to clients, issue a uniform invoice for the actual price of the purchased goods in addition to the commission income. The word “代購” (which means consignment purchase in Chinese) should be noted in the invoice.
According to Article 3, Paragraph 3, Subparagraph 3 of the Value-Added and Non-Value-Added Business Tax Act, when a business operator purchases goods in their own name and delivers them to a client, this is considered a sale of goods. As per the regulations in Article 19, Paragraph 1, Subparagraph 2 of the Implementation Rules of the same law and Article 17, Paragraph 1 of the Government Uniform Invoice Usage Regulations, the operator must issue a Government Uniform Invoice not only for the commission income but also for the actual price of the purchased goods. The invoice should note the word “代購” (which means consignment purchase) in the remarks section when handed over to the client.
For example, Company “A” operates an overseas purchasing business. Each month, they conduct a live broadcast on Facebook to introduce local products from South Korea, such as clothing, accessories, and cosmetics. After the order deadline, they place orders with South Korean suppliers based on consumer order information. Consumer “B” asks Company “A” to purchase a dress from South Korea. Company “A” charges Consumer “B” NTD 900 for the dress and NTD 150 as commission, totaling NTD 1,050. In addition to issuing an Uniform Invoice for the commission income of NTD 150, Company “A” must also issue a uniform invoice for the actual price of the dress, NTD 900, and note “代購” (consignment purchase) in the remarks section of the invoice before handing it over to Consumer “B”.
The Bureau urges business operators engaged in purchasing services to immediately rectify any cases of failing to issue uniform invoices or underreporting sales. They should proactively file and pay the overdue VAT and interest, in accordance with Article 48-1 of the Tax Collection Act, before the investigation by tax officers or investigators designated by the Ministry of Finance, to avoid penalties.
