Circular of the State Administration of Taxation on Printing and Distributing the Interim Measures for the Assessment of the Imposition of Enterprise Income Tax
Circular of the State Administration of Taxation on Printing and Distributing the Interim Measures for the Assessment of the Imposition of Enterprise Income Tax
Circular of the State Administration of Taxation on Printing and Distributing the Interim Measures for the Assessment of the Imposition of Enterprise Income Tax
Guo Shui Fa [2000] No. 38
February 25, 2000
The Interim Measures for the Assessment of the Imposition of Enterprise Income Tax are hereby issued. These procedures should be consistently and thoroughly implemented while taking into account local conditions. Any issues or questions arising during its implementation should be reported promptly to the State Administration of Taxation.
Attachment: Interim Measures for the Assessment of the Imposition of Enterprise Income Tax
Article 1 With the goal of strengthening the administration of enterprise income tax imposition and increased normalization of the process of assessed income tax imposition, this document is formulated in accordance with the Law of the People's Republic of China Regarding the Administration of Tax Imposition and the Interim Regulations of the People's Republic of China on Enterprise Income Tax.
Article 2 In any of the following circumstances, the enterprise income of a tax bearer shall be taxed according to the assessed imposition method:
1. Tax laws and regulations allow the tax bearer to forgo keeping a written account, or according to tax laws and regulations the tax bearer should keep accounts but has failed to do so;
2. Only total revenue can be accurately calculated or verified; precise calculations of costs and expenditures are not possible;
3. Only costs and expenditures can be accurately calculated or verified, precise calculations of total income are not possible;
4. Precise calculations of both total income and costs and expenditures are not possible, and the tax bearer is unable to provide the tax authority with genuine, accurate, and complete tax records, making verification difficult;
5. Though the accounts have been maintained and calculated in compliance with relevant provisions, the tax bearer has failed to retain accounting ledgers, receipts, or other materials relevant to tax payment as prescribed in relevant provisions.
6. If the tax bearer has failed to submit a tax declaration before the deadline stated in tax regulations and continues to be delinquent after being ordered by tax authority to declare within a specified time limit.
Article 3 Assessment of imposition methods include fixed-sum imposition and imposition by assessment of the taxable income rate, as well as other reasonable methods.
Fixed-sum imposition refers to a method of tax imposition where the tax authority, in accordance with a fixed set of standards, procedures, and methods, directly assesses the annual enterprise income tax to be paid by the tax bearer.
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