Announcement On Deepening Policies On Value Added Tax Reform

Ministry of finance, General Administration of Taxation, General Administration of Customs Announcement No. thirty-ninth 2019

In order to implement the decisions and arrangements of the CPC Central Committee and the State Council and promote the substantial reduction of value-added tax, the relevant matters on value added tax reform in 2019 are hereby announced as follows:

1. The general tax payers of the value-added tax (hereinafter referred to as taxpayers) are subject to the 16% duty rate of the taxable sales of value-added tax or imported goods. The tax rate is adjusted to 13%. The original 10% tax rate is adjusted to 9%.

Two, when taxpayers purchase agricultural products, the deduction rate will be adjusted to 9% if the deduction rate is 10%.

Taxpayers who purchase agricultural products used for production or entrustment processing 13% tax rate shall calculate the input tax according to the deduction rate of 10%.

Three, the original 16% tax rate and export tax rebate -1.html > >

The export tax rebate rate of 16% of the export labor service is adjusted to 13%. The export tax rebate rate of the original 10% tax rate and the export tax rebate rate of 10% is adjusted to 9%.

Before June 30, 2019 (before April 1, 2019), the export of goods and services in the preceding paragraph of the taxpayer's export and the cross border taxable act in the preceding paragraph shall apply to the value-added tax exemption tax refund method. When the value added tax has been levied at the pre adjusted tax rate, the export tax rebate rate shall be adjusted before the adjustment is made. When the value added tax has been adjusted at the adjusted tax rate, the adjusted export tax rebate rate shall be implemented. If the value-added tax exemption and refund method is applied, the export tax rebate rate before the adjustment shall be implemented. When calculating the exemption and refund tax rate, the application rate is lower than the export tax rebate rate. The difference between the applicable tax rate and the export tax rebate rate shall be regarded as zero participation in the exemption and refund calculation.

The execution time of export tax rebate rate and the time for export goods labor and cross border taxable duties shall be carried out in accordance with the following regulations: the export of goods and services (except for bonded areas and export through bonded areas), shall be based on the date of export specified in the customs declaration, and the time for the issuance of export invoices or ordinary invoices shall be based on the time when the goods are exported and the cross border taxable acts are not exported. The goods exported in the bonded areas and the bonded areas shall be based on the export dates indicated on the list of outgoing goods issued by the Customs at the time of departure.

Four, the tax rebate rate for overseas passengers shopping for 13% duty rate is 11%, and the rebate rate applicable to the 9% tax rate is 8%.

Before June 30, 2019, the tax rebate rate will be adjusted according to the pre adjusted tax rate, and the tax rebate rate will be adjusted according to the adjusted tax rate.

The execution time of tax rebate rate shall be based on the date of issuance of ordinary invoices for tax rebates.

Five, from April 1, 2019 onwards, the provisions on matters related to the pilot scheme of business tax to VAT (fiscal 36 [2016] issued) shall cease to be implemented in the first (four), first, second (1), first points, and the taxpayers' income tax on real estate or real estate construction will no longer be deducted in 2 years.

The deductible input tax that has not yet been deducted in accordance with the above provisions can be deducted from the output tax from the date of tax in April 2019.

Six, taxpayers purchase domestic passenger pport services, and their input tax is allowed to be deducted from the output tax.

(1) taxpayers who fail to obtain special invoices for value-added tax shall temporarily determine the amount of input tax according to the following provisions:

1. the amount of tax specified in the invoice shall be the ordinary invoice of value-added tax.

2. to obtain the air travel electronic passenger ticket showing the passenger's identity information, the input tax shall be calculated according to the following formula:

Air passenger pport input tax = (fares + fuel surcharge) (1+9%) * 9%

3. where a railway ticket indicating passenger identity information is obtained, the input tax calculated according to the following formula is:

Railway passenger pport input tax = coupon value (1+9%) x 9%

4. where other passenger tickets, such as highways, waterways and other watermarks, which indicate passenger identification information are obtained, the input tax shall be calculated according to the following formula:

The input tax of other passenger traffic on roads, waterways, etc. = the face value of (1+3%) * 3%

(two) the implementation measures for the implementation of the pilot scheme for the conversion of business tax to value added tax (36 issued by finance and tax [2016] 36), and the provisions on matters related to the pilot scheme of business tax to VAT (tax revenue 2016) issued by 36 (second) (second) (1) fifth points "passenger pport services, loan services, catering services, daily services and entertainment services" are revised as "loan services, catering services, daily services and entertainment services for residents".

Seven, from April 1, 2019 to December 31, 2021, the taxpayers of production and living service industries are allowed to deduct the amount of tax payable according to the current deductible deductible tax amount (10%).

(1) taxpayers in the production and life service industry mentioned in this notice refer to taxpayers who provide postal services, telecommunications services, modern services, and life services (hereinafter referred to as four services) to account for over 50% of total sales.

The specific scope of the four services shall be implemented in accordance with the sales and services, intangible assets and real estate notes (36 issued by finance and taxation [2016]).

For taxpayers established before March 31, 2019, the sales volume (from April 2018 to March 2019), which is less than 12 months' operating period, according to the sales amount of the actual business period, meets the above requirements. Since April 1, 2019, the policy of addition and reduction has been applied.

After the establishment of a taxpayer after April 1, 2019, the sales amount of 3 months from the date of establishment is in conformity with the above-mentioned conditions.

If the taxpayer decides to apply the policy of deduction and reduction, it will no longer adjust in the year and whether the next year will be applicable.

The amount of tax deductible but not calculated by the taxpayer can be summarized in the period of determining the applicable reduction and reduction policy.

(two) taxpayers should make 10% deductions in the current period according to the current deductible input tax.

In accordance with the current regulations, the amount of tax deducted from the output tax shall not be added to the deduction and deduction. If the amount of the input tax that has been added to the deduction has been pferred out according to the regulations, the amount of the input tax should be pferred out of the current period, and the corresponding deduction and deduction should be made.

The formula is as follows:

The estimated additional deductible in the current period = the current deductible input tax x 10%

Deductible and deductible in the current period: the balance at the end of the period plus the decrease in the current period plus the reduction in the current period.

(three) taxpayers should calculate the amount of tax payable under the general tax calculation in accordance with the existing regulations (hereinafter referred to as the amount of tax payable before deduction).

1. the amount of tax payable before the deduction is equal to zero, and the deductible deduction can be carried forward in the current period.

2. the amount of tax payable before deduction is greater than zero and is larger than the deductible and deductible amount in the current period. The total amount of deductible deductions and deductions in the current period will be deducted from the amount of tax payable before deduction.

3. the amount of tax payable before deduction is greater than zero, and is less than or equal to the deductible and deductible value in the current period.

In the current period, the deductible and deductible will be deducted, and the next phase will continue to be deducted.

(four) taxpayers' export of goods and labor services and pboundary taxable acts are not applicable to the policy of subtraction, and the corresponding tax amount shall not be added to the amount of deductions.

Taxpayers are also engaged in export goods labor services and cross border taxable activities, and they can not be divided into non deductible deductions.

It is not allowed to calculate the amount of tax deducted from the deduction and deduction. It is the total sales tax that can not be divided in the current period.

(five) taxpayers should separately calculate the changes in the provision, deduction, reduction and balance of the additional deduction and reduction.

If fraud is applied to the policy of adding or reducing the amount of deduction or deduction, it shall be dealt with in accordance with the relevant provisions of the law of the People's Republic of China on tax collection and administration.

(six) after the expiration of the implementation of the policy, taxpayers will no longer make additional deductions and deductions.

Eight, since April 1, 2019, trial tax refund system for value-added tax has been put into effect at the end of the year.

(1) taxpayers who meet the following requirements at the same time may apply to the competent tax authorities for refund of the increment tax.

1. since the date of tax payment in April 2019, the incremental tax on the 6 consecutive months (quarterly tax payment for the 2 consecutive quarter) is greater than zero, and the sixth month increment tax is no less than 500 thousand yuan.

2. the tax credit level is grade A or B.

3. 36 months before the application for tax rebate, no tax rebate, export tax rebate or false invoices for value-added tax had been committed.

4. 36 months before the application for tax rebates, two or more were not punished by tax authorities for tax evasion.

5. from April 1, 2019 onwards, we have not enjoyed the policy of "levy immediately, retire" and "go back".

(two) the "incremental tax" as mentioned in this Notice refers to the new increase in final tax payable compared with the end of March 2019.

(three) the incremental tax allowance allowed by taxpayers in the current period shall be calculated according to the following formula:

The incremental tax allowance allowed to be refunded = incremental tax allowance * the proportion of entries is * 60%

The proportion of entries is the value added tax that has been deducted from the value added tax invoices (including tax controlled motor vehicle sales), customs import VAT special payment books and tax paid duty paid certificates which have been deducted in the period from April 2019 to the period before the application for tax rebate.

(four) taxpayers should apply to the competent tax authorities for refund of the tax in the period of VAT filing.

(five) when taxpayers export goods and labor services and cross border taxable activities are applicable to the tax exemption and refund method, they may apply for refund of the tax allowance if they fail to meet the conditions stipulated in this announcement after the tax refund is granted. If the tax exemption is applied, the relevant input tax shall not be used to refund the tax on the tax.

(six) after the taxpayer obtains the refunded tax, the current tax allowance should be reduced accordingly.

If the tax rebate conditions are met once again according to the provisions of this article, the tax refund authorities may continue to apply to the competent tax authorities for refund of the tax allowance. However, the continuous period specified in Item 1 (first) of this article shall not be repeated.

(seven) if fraudulent claims or other fraudulent means are used to defraud the tax rebates, the tax authorities shall recover the tax rebates they have defrauded, and deal with them in accordance with the relevant provisions of the law of the People's Republic of China on the administration of tax collection.

(eight) the central and local share sharing mechanism for refund of the incremental tax allowance will be notified separately.

Nine. This notice will be implemented from April 1, 2019.

Notice hereby.

The General Administration of Taxation of the Ministry of Finance

March 20, 2019