Implementing Rules of the Law of the People's Republic of China on the Administration of Tax Levying (Revised in 2012)
Implementing Rules of the Law of the People's Republic of China on the Administration of Tax Levying (Revised in 2012)
Implementing Rules of the Law of the People's Republic of China on the Administration of Tax Levying (Revised in 2012)
Order of the State Council No. 628
November 9, 2012
(Promulgated by Order of the State Council of the People's Republic of China No.362 on September 7, 2002; and revised in accordance with the Decision of the State Council on Revising and Repealing Certain Administrative Regulations made on November 9, 2012)
Chapter I General Provisions
Article 1 These Rules are formulated in accordance with the provisions of the Law of the People's Republic of China on the Administration of Tax Levying (hereinafter referred as the "Law on the Administration of Tax Levying").
Article 2 The administration of tax levying with regard to all kinds of taxes that are levied by the tax authorities in accordance with the law is subject to the Law on the Administration of Tax Levying and These Rules or, where there are no relevant provisions in the Law on the Administration of Tax Levying and these Rules, the provisions of other relevant tax laws and administrative regulations.
Article 3 Where any decisions that are made by any departments, entities and individuals are in conflict with the tax laws and administrative regulations, they shall be all invalid, and the tax authorities shall not implement such decisions and shall report the decisions to the tax authorities at higher levels.
The taxpayers shall perform the tax liabilities in accordance with the provisions of tax laws and administrative regulations; where any contracts or agreements that are signed by taxpayers are in conflict with the tax laws and administrative regulations, such contracts and agreements shall be all invalid.
Article 4 The State Administration of Taxation (hereinafter referred to as the "SAT") shall be responsible for formulating the overall plans, technical standards, technical plans and implementation measures with regard to the informationization construction of national tax system. The tax authorities at all levels shall properly handle the specific works with regard to the local informationization construction of tax systems in accordance with the overall plans, technical standards, technical plans and implementation measures of the SAT.
The local people's governments at all levels shall actively support the informationization construction of tax systems and organize the share of relevant information by the relevant departments.
Article 5 The secrecies that shall be kept for the taxpayers and withholding agents as mentioned in Article 8 of the Law on the Administration of Tax Levying refer to the trade secrets and privacy of the taxpayers and withholding agents. The tax-related illegal acts of taxpayers and withholding agents are not included in the scope of confidentiality.
Article 6 The SAT shall formulate the code of conducts and service standards for the tax officials.
The tax authorities at higher levels shall promptly rectify the tax-related illegal acts of the tax authorities at lower levels when they find such acts; the tax authorities at lower levels shall correct such acts promptly in accordance with the decisions of the tax authorities at higher levels.
When finding the tax-related illegal acts of the tax authorities at higher levels, the tax authorities at lower levels shall report such illegal acts to the tax authorities at higher levels or the relevant departments.
Article 7 The tax authorities shall give the relevant awards to the informants in accordance with their contributions, and the funds for awards shall be included in the annual budgets of the tax departments and be checked and ratified separately. The actual measures and standards for awards shall be formulated by the SAT together with the Ministry of Finance.
Article 8 Where a tax official has any of the following relationships with a taxpayer or withholding agent or its legal representative or directly responsible person when checking and ratifying the amount of payable tax, adjusting the pre-assumptive amount of tax, conducting the inspection on tax, implementing the administrative penalty of tax or handling the administrative review of tax, he or she shall withdraw from such matters:
1. Matrimonial relationship;
2. Lineal descent;
3. Collateral descent within three generations;
4. Close relationship by marriage; and
5. Other interested relationships that may influence the impartial enforcement.
Article 9 For the purposes of Article 14 of the Law on the Administration of Tax Levying, the tax authorities that are established in accordance with the provisions of the State Council and are announced to the public refer to the inspection departments of the tax bureaus at provincial level or below. The inspection departments are exclusively in charge of the investigation and treatment with regard to the cases involving tax evasion, evasion on the recovering of outstanding taxes, tax fraud and refusal to pay tax.
The SAT shall expressly define the functions between the tax bureaus and the inspection departments to avoid any intercross of functions.
Chapter II Tax Registration
Article 10 The state and local tax bureaus shall adopt a single code for a taxpayer and share the information.
The specific measures for tax registration shall be formulated by the SAT.
Article 11 The administrative authorities for industry and commerce at all levels shall regularly report registrations with regard to the opening of business, change and cancellation and the revocation of business licenses to the state tax bureaus and local tax bureaus at the same level.
The specific measures for such reporting shall be formulated jointly by the SAT and the State Administration for Industry and Commerce.
Article 12 The taxpayers that engage in production or operation shall apply to the competent tax authorities at their production or operation places or at the locality where the tax liabilities occur for the tax registration within 30 days after obtaining their business licenses, truthfully fill in the tax registration forms and provide the relevant documents and materials in accordance with the requirements of the tax authorities.
The taxpayers other than those mentioned in the preceding paragraph, except for the state organs and individuals, shall apply to the competent tax authorities at their location for the tax registrations by holding the relevant certificates within 30 days after the tax liabilities occur.
The measures for taxpayers to handle the tax registration with regard to individual income taxes shall be separately specified by the State Council.
The formats of the tax registration certificate shall be formulated by the SAT.
Article 13 The withholding agents shall, within 30 days from the day when the withholding liabilities occur, apply to the competent tax authorities at their location for withholding tax registration and obtain their withholding tax registration certificates; with regard to the withholding agents that have already completed the tax registrations, the tax authorities may only record the items of withholding tax in their tax registration certificates and shall not issue the certificates of withholding tax registration any more.
Article 14 Where any contents of tax registration change, the taxpayers shall apply to the original tax registration authorities for changing the tax registration by holding the relevant certificateswithin 30 days from the day when the administrative authorities for industry and commerce or other organs handle the tax registration with regard to such changes.
Where the contents of tax registration change but it is not necessary to change the tax registrations with the administrative authorities for industry and commerce or other organs, the taxpayer shall apply to the original tax registration authorities for changing the tax registration by holding the relevant certificates within 30 days after such changes occur.
Article 15 Where any taxpayers are involved in dissolution, bankruptcy, cancellation or other circumstances and thus their tax liabilities are terminated in accordance with the law, such taxpayers shall apply to the original tax registration authorities for the cancellations of tax registration by holding the relevant certificates before applying to the administrative authorities for industry and commerce or other organs for such cancellations; where it is not necessary to register such cancellations with the administrative authorities for industry and commerce or other organs in accordance with the regulations, the taxpayers shall apply to the original tax registration authorities for the cancellations of tax registration by holding the relevant certificates with 15 days after the relevant organs approve or announce the termination.
Where any taxpayers are involved to change their tax registration authorities due to the change of their addresses or operation places, they shall apply to the original tax registration authorities for the cancellations of tax registration before they apply to the administrative authorities for industry and commerce or other organs for such changes or cancellations of registration or before their addresses or operation places are changed, and they shall apply for registration to the tax authorities at the place to which they will move within 30 days.
Where the taxpayers' business licenses are revoked by the administrative authorities for industry and commerce or their registrations are cancelled by other organs, the taxpayers shall apply to the original tax registration authorities for the cancellations of tax registrations within 15 days from the day when the business licenses are revoked or the registrations are cancelled.
Article 16 The taxpayers shall settle the payable taxes, overdue fines and other fines and hand in the invoices, tax registration certificates and other tax certificates for cancellation before they complete the cancellations of tax registration to the tax authorities.
Article 17 The taxpayers that engage in production or operation shall report all of their account numbers to the competent tax authorities in written form within 15 days after they open the basic deposit accounts or other deposit accounts; where the account numbers change, the taxpayers shall report such change to the competent tax authorities in written form within 15 days from the day when such changes occur.
Article 18 The taxpayers shall complete the following matters with their tax registration certificates, except where tax registration certificates are not required be issued in accordance with the regulations:
1. Opening bank accounts;
2. Applying for the tax reduction, exemption or refund;
3. Applying for postponing the tax declaration or payment;
4. Purchasing invoices;
5. Applying for the issuance of certificates of tax administration for outbound operation activities;
6. Handling the termination or temporary closure of businesses; and
7. Other relevant tax matters.
Article 19 The tax authorities shall implement the systems of regular inspection and replacement with regard to the tax registration certificates. The taxpayers shall complete the procedures of inspection or replacement of their tax registration certificates within the prescribed time limit with the competent tax authorities.
Article 20 The taxpayers shall openly place the original tax registration certificates at their production and operation places or offices for the inspection of the tax authorities.
Where the taxpayers' tax registration certificates are lost, they shall report that to the competent tax authorities in written form within 15 days and declare the invalidation of these certificates in the newspapers.
Article 21 Where any taxpayers that engage in production and operation go to the other counties (cities) to engage in production and operation activities temporarily, they shall bring the copies of their tax registration certificates and the certificates of tax administration for outgoing operation activities that are issued by their local tax authorities to the tax authorities at the places of business for declaration, verification and registration and shall be subject to the tax administration.
Where the accumulated outgoing operation time at the same place exceeds 180 days, the taxpayers that engage in production and operation shall handle the procedures of tax registration at the places of business.
Chapter III Administration of Accounting Books and Vouchers
Article 22 The taxpayers that engage in production and operation shall establish the accounting books in accordance with the relevant regulations of the State within 15 days after they obtain the business licenses or their tax liabilities occur.
The accounting books as mentioned in the preceding paragraph refer to the general ledgers, detailed ledgers, journals and other auxiliary accounting books.
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