Discussions on our virtual business game, your ideas and game mechanics
Topic:
Topic created : 31.10.2011, 02:54
I got 1 important question.I am trying to get income from trading,buying from other companies jewellery cheap and selling them to my store more expensive.now when i try to buy from other countries like South Africa i see that i need to pay high amounts of cash at the customs so the product arrives very expensive at my company and i cant get a profit by selling them.What should i do?I have an idea but i am not sure.Maybe if i open an office and a store to that country i am trying to buy(south africa) and than buy from that company in south africa,could than i transport the bought products from my store to south africa in my store to spain without paying customs or something like that?
Doing so will not resolve your issue as transportation & customs are always payed for goods transport between countries even if it's a move of goods between your own companies. An option would be trying to contact one of the suppliers to see if you can have a supply at lower prices.
no matter what you do, you will still have to pay South African export tax for jewelry and Spanish import tax for jewelry
(you can look them up in menu: GameWorld -> WorldMap -> RepublicOfSouthAfrica/Spain -> CustomsDuties)
The least amount of taxes for brilliants in your case would be
SA export tax: 5% * 1000$ IP = 50$
plus ESP import tax: 30% * 1000$ IP = 300$
that is, if you would be selling brilliants from you warehouse in SouthAfrica using price less or equal to 1000$.
And when you sell goods in Spain, you will have to pay profit taxes which would be:
30% of profit if you make profit, or
PrimaryCost * (0.01 * 30 CTIE rate) * (0.01 * 30 profitTax) if you sell at a loss.
This is explained in detail in the Guide - Subject: Using of the warehouses. Taxes
(you can look CTIE rates in menu: GameWorld -> WorldMap -> Spain -> Spain -> CTIE rates)
