Circular of the State Administration of Taxation on Several Issues Concerning Tax Refund (Exemption) of Exported Goods
Circular of the State Administration of Taxation on Several Issues Concerning Tax Refund (Exemption) of Exported Goods
Circular of the State Administration of Taxation on Several Issues Concerning Tax Refund (Exemption) of Exported Goods
Guo Shui Fa [2006] No. 102
July 12, 2006
The state bureaus of tax in all provinces, autonomous regions and cities specifically designated in the state plan:
In response to some problems reflected in the process of export refund (exemption), after research, the relevant problems are hereby noticed as follows:
Article 1 The following goods exported by enterprises shall be deemed domestic cargo to calculate or withdraw output tax or impose value-added tax, except otherwise provided.
1. it is expressly prescribed in the national laws that the value-added tax of the cargo shall be refunded (or exempted);
2. the export enterprise fails to declare tax refund (or exemption) for the cargos within the prescribed time limit;
3. the export enterprise fails to make up completely the relevant certificate to the tax authorities within the prescribed time limit, albeit it has declared tax refund (or exemption);
4. the export enterprise fails to declare the issue of Certificate of Agent Export Cargo within the prescribed time limit;
5. other outsourcing cargos, which shall be deemed original products except the aforesaid 4 kinds of cargos, shall be deemed original products exported by producers.
Formula to calculate output tax of the aforesaid cargos exported by common tax payers by general trade means:
Volume of output tax= FOB of export goods× price of foreign exchange equivalent of RMB÷(1+rate of statutory value-added tax) ×rate of statutory value-added tax Formula to calculate the volume of tax payable paid by general taxpayer of the aforesaid goods paid by general taxpayer by means of reexportation of processing imported material and paid by small-scale taxpayer shall be:
Tax payable = (FOB of export goods × price of foreign exchange equivalent of RMB) ÷(1+ leviable rate) × leviable rate
Where the output tax of the aforesaid export products needs calculating and withdrawing and the tax exemption calculated by the manufacturer in accordance with prescriptions is not allowed to be exempted and deducted tax volume has been transferred to cost account, the difference between tax leviable rate and refund rate as well as the sum which has been transferred to export refund payable may be transferred to account of input tax.
Where the aforesaid goods exported by enterprises is dutiable consumption goods and the export enterprise is manufacturers, the export enterprise shall, in accordance with the current policy concerning tax imposition, calculate the paid consumption tax, except otherwise stated; where the export enterprise is foreign trade enterprise, it shall not refund consumption tax.
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