Brush single, was the "unspoken rules" of the e-commerce industry. But in 2026, this gray area has been completely illuminated - brush single generated false income, the same need to pay taxes.

An e-commerce enterprise in Xuzhou was unable to provide evidence of single-sheet swiping during the tax audit, and was taxed by the tax authorities on the basis of the platform's full data, which resulted in a steep increase in the tax burden. What's worse, because of the unprovable record of single swiping, the enterprise had to pay VAT and enterprise income tax for these "false transactions".

Brush orders, once considered an "operating cost" operation, are now becoming a tax minefield for e-commerce companies. Today, we're going to break down the tax consequences of brushing orders and what to do if you're caught.

First, why the brush will be targeted by the tax?

1. Full reporting of Platform data

According to the State Council's Provisions on the Reporting of Tax-Related Information by Internet Platform Enterprises, mainstream e-commerce platforms are required to report seller identity information, transaction flow, and account information to tax authorities on a quarterly basis.

The transactions generated by brush orders will also be recorded and reported by the platform. In the system of the tax authorities, these are your "taxable income".

2. Abnormalities in the flow of funds are monitored

Swipe orders are often accompanied by features such as "pay-as-you-go" and the return of funds. These abnormal fund flows will be automatically flagged by the bank's risk control system. When the bank reports the suspicious transaction to the anti-money laundering department, the tax system will also receive the information simultaneously.

3. Early warning of tax rate anomalies

If your declared income is much lower than the platform data, or the tax burden rate is much lower than the industry average, the Golden Tax IV system will automatically warn you and become an audit trail.

Second, the tax consequences of brushing: not only to make up taxes, but also fines

1. Liability for back taxes

According to the tax law, as long as a taxable transaction occurs (i.e., funds flow occurs and platform data is recorded), it constitutes a tax obligation. The income generated by brushing orders is also subject to VAT and corporate income tax.

calculation method::

• VAT: 1% or 3% for small taxpayers and applicable rate (e.g. 13%) for general taxpayers
• Enterprise income tax: calculated on the basis of total profit, small and micro enterprises can enjoy preferential treatment

2. Late payment

According to the Tax Collection and Management Law, if the tax is not paid on time, the late tax shall be added on a daily basis from the date of late payment of the taxfive ten thousandthsof late fees. Over the course of a year, that's an additional cost of 18.251 TP3T.

3. Fines

If recognized as tax evasion (i.e., concealment of swipe income not declared), the tax authorities may recover the tax, add late payment fees, and impose a penalty of underpayment of tax50% or more 5 times lessFine.

In the Xuzhou e-commerce case, the business ended up being taxed on the full amount of the data because it could not prove the swipe. If the amount was larger, the fine could have put the business out of business outright.

Third, the new rules for brush audits in 2026

The new rules on VAT audit and back taxes, which came into effect on January 1, 2026, have further escalated the risks of brushing:

Core changes: In the past, when hidden income was detected, the back tax might be calculated at the 1% levy rate only. The new rules, when implemented, willRetroactive adjustment to the period in which the operation actually occurred, recalculated at the tax rate (e.g., 13%) that would have applied at that time.

This means that, after 2026 brush single, once investigated, the cost of back taxes will rise exponentially. In the past, the kind of "brush single cost = commission + shipping" way of accounting, now to add the risk of "may be 13% back tax".

If you need professional e-commerce tax compliance services, including brushing evidence combing, self-inspection and supplemental reporting guidance, risk identification, etc., welcome to add customer service WeChat: qcygscszk, or call the cell phone: 18676749275. our industry experts will be your one-on-one answer to help you comply with the business, worry-free go forward.

IV. What to do after being checked? Three Steps to Compliance

Step 1: Stop swiping immediately

Regardless of whether or not you have been investigated, stop all swiping operations immediately. This is the premise of all subsequent processing.

Step 2: Sorting out the chain of evidence

If you have been questioned by the tax authorities, or are preparing to self-report, you must provide a complete chain of evidence of the swipe:

• Brusher Information: Name, contact information, swipe account
• Record of return of funds: Payment-returned bank flows, Alipay/WeChat records
• Platform back-office data: Swipe order number, refund record
• Communication records: Chatting records and cooperation agreements with the swipe team.

Key reminders: If there is no complete chain of evidence, the tax authorities will collect the full amount of tax according to the platform data. Xuzhou e-commerce case is a foregone conclusion.

Step 3: Take the initiative to explain the situation

With a chain of evidence, take the initiative to explain the situation to the competent tax authorities and apply for the exclusion of swiping income. With a sincere attitude and sufficient evidence, the tax authorities will usually recognize and tax only the real income.

Fifth, how to comply with the reduction of operating costs, alternative to brushing?

Brush single is banned, many sellers worry about "no traffic". In fact, compliant operations are equally effective and risk-free:

1. Platform advertising

Utilizing the platform's paid promotion tools (e.g., through-traffic, super-recommendation) to accurately acquire traffic. Although it requires investment, the traffic is real, the conversion rate is high, and the cost can obtain a compliant invoice and be credited to the cost deduction.

2. Content marketing

Attract natural traffic through live streaming, short videos, graphics and other forms of content. Content platforms such as Jittery, Xiaohongshu and TikTok have become important sources of traffic.

3. Private sector operations

Precipitate customers to WeChat, WhatsApp and other private domain channels, and reduce customer acquisition costs through community operation and repurchase of old customers.

4. Compliance promotion

Utilize platform-compliant promotional tools (e.g., coupons, markdowns, member discounts) to boost conversions without the need to create false heat through swiping.

VI. Frequently asked questions

Q1：Will I be investigated if the amount of swiping is not large?

A: As long as the platform data is inconsistent with the declared data, the system will warn you. The size of the amount is just a matter of time.

Q2: The swipe has passed, do I still need to deal with it?

A: It is required. As long as the platform data is still available, the tax bureau has the right to trace back. It is recommended to take the initiative to self-check and organize the chain of evidence for investigation.

Q3：How can I prove it if I find a third party to brush my order and the other party runs away?

A: Keep the communication records with the third party, payment records, and swipe order numbers. Even if the other party runs away, these can be used as evidence.

Q4: Will I still be fined after I swipe my back taxes?

A: If you take the initiative to make up the report on your own initiative and are sincere and have sufficient evidence, you will usually only have to pay back the tax and not be fined. If the matter is dealt with only after being investigated, you may face a fine.

The "gray dividend" of brushing is over.2026, instead of risking being checked for brushing, we should spend our energy on the real operation. Compliance is the most permanent way of doing business.

Enterprise Caiying is deeply engaged in the field of e-commerce tax compliance and has rich experience in responding to audits. If you have any questions about the tax treatment of swiping, or wish to do a comprehensive compliance checkup for your company, please feel free to contact us.

If you need professional e-commerce tax compliance services, including brushing evidence combing, self-inspection and supplemental reporting guidance, risk identification, etc., welcome to add customer service WeChat: qcygscszk, or call the cell phone: 18676749275. our industry experts will be your one-on-one answer to help you comply with the business, worry-free go forward.