China - Register for Consumption Tax

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Procedure

Enterprises, the branches and the sites engaged in production or business operations established by enterprises in other places, industrial and commercial households and institutions engaged in production or business operations (hereinafter all referred to as taxpayers engaged in production or business operations) shall, within 30 days from the date the business license is obtained, apply to the tax authorities for tax registration by presenting the relevant documents. The tax authorities shall, within 30 days from the date the application is received, issue the tax registration certificate upon examination and verification of the documents.

The administrative departments for industry and commerce shall keep the tax authorities regularly informed of their handling of registration and issuing of business licenses upon examination.

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Required Documents

• An industrial and commercial business license or other similar permit of business operation
• A contract, agreement and articles of association
• The unified organizational code
• The ID card, passport or other valid ID certificate of the legal representative, or responsible member of owner
• Other documents and information demanded by the tax authorities of a province, autonomous region or municipality directly under the State Council

Office Locations & Contacts

State Administration of Taxation
Address: Yangfangdian Road, Haidian District, on the 5th
Zip: 100038
Tel: 010-63417114
Website: http://www.chinatax.gov.cn

State Administration for Industry and Commerce People's Republic of China
Address: 8 Sanlihe Donglu, Xichengqu, Beijing, 100820, P. R. China
Phone: +86-10-68010463/68013447
Facsimile: +86-10-68010463/68013447
Email: [email protected]
Contact
Address

Eligibility

All corporations and persons engaged in the production, subcontracting for processing or importation of taxable consumer goods within the territory of the People's Republic of China are payers of consumption tax, in accordance with the sales amounts or sales volumes for the taxable consumer goods, which, as a price including tax, is imposed on a selected few consumer goods in the production, subcontracting for processing or importation links, without further imposition in subsequent wholesale, retail and other links.

Fees

Explain the fees structure which is required for obtaining the certificate/document.

Validity

Explain the time until which the certificate/document is valid.
e.g. Birth Certificate Valid Forever

Documents to Use

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Sample Documents

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Processing Time

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Related Videos

Videos explaining the procedure or to fill the applications. 
Attach videos using the following tag <&video type="website">video ID|width|height<&/video&> from external websites.
Please remove the "&" inside the tags during implementation.
Website = allocine, blip, dailymotion, facebook, gametrailers, googlevideo, html5, metacafe, myspace, revver, 
sevenload, viddler, vimeo, youku, youtube
width = 560, height = 340, Video ID = Can be obtained from the URL of webpage where the video is displayed.
e.g In the following url "http://www.youtube.com/watch?v=Y0US7oR_t3M" Video ID is "Y0US7oR_t3M". 
	

Instructions

Tax revenues in China are collected and split between central and local government. The State Administration of Taxation (SAT) is the highest tax authority in China and it has SAT offices at the provincial and city levels responsible for collection of value added tax (VAT), consumption tax, business tax, corporate income tax and other specialized taxes. There are also local tax bureau offices reporting to the local governments and responsible for collecting business tax, individual income tax, and other specialized taxes. In addition, imports and exports are subject to customs duties, and notably, VAT and consumption tax which are collected by the General Administration of Customs and its subsidiaries around the country.

Every company has to register with both the SAT and the local tax bureau, and Customs as required. Given the complexity of the taxation structure, tax regulations can be interpreted in different ways by different offices and officials, even among the different districts of the same city. Different offices in different regions may have different interpretations towards tax regulations released by the central government, and their implementation efforts may vary. Check with local tax administrations or reputable service providers for the latest tax policy in the location where you are based.

Required Information

• The name and the number of the ID card, passport or other valid ID document of the institution, legal representative or owner
• The residence or business address
• The type of registration
• The accounting system
• The form of production and business operation
• The scope of production and operation
• The total amount of capital (fund), investment
• The term of production and operation
• The name and telephone number of the financial chief
• Other information specified by the State Administration of Taxation

Need for the Document

Consumption tax mainly applies to luxury goods and non-necessities, products which could be harmful to health or environment (e.g. tobacco, alcohol, fireworks), high-energy consumption and high-end products, non-renewable and non-replaceable petroleum products. Consumption tax rates can vary from 1% to 56%.

Information which might help

Consumption tax is imposed on the production, subcontracting for processing or importation of the following goods:

• Cosmetics
• Precious jewelry and precious jade and stones
• High-grade watches
• Cigarettes
• Alcoholic drinks and alcohol
• Firecrackers and fireworks
• Product oils
• Motor vehicle tires
• Motorcycles
• Saloon cars
• Golf and equipment
• Yachts

Other uses of the Document/Certificate

A consumption tax is imposed on 14 categories of goods, including cigarettes, alcoholic beverages, and certain luxury and environmental unfriendly items. The tax liability is computed based on the sales amount and/or the sales volume, depending on the goods concerned. Consumption tax is not recoverable but is deductible as an expense for CIT purposes.

External Links

State Administration for Industry and Commerce People's Republic of China

State Administration of Taxation of the People's Republic of China

Ministry of Commerce, the People's Republic of China

Tax Law

State Administration of Taxation

Others

Consumption Tax shall be collected in one specific link, generally in the production, processing dealing and importation link of taxable consumption goods, except for gold and silver jewellery, diamonds and diamond ornaments, which shall be taxed in retail link. Intermediate Links of Taxation

• The production link
• The importation link
• The retail link (of gold, silver, jewelry, diamond industry)