Official Reply of the State Administration of Taxation on Issues Concerning the Imposition and Administration of Tax Payable on the Taxable Income of Military Units

Official Reply of the State Administration of Taxation on Issues Concerning the Imposition and Administration of Tax Payable on the Taxable Income of Military Units

Guo Shui Han[2000] No. 466

June 16, 2000

To local taxation bureau of Fujian Province:

Upon the receipt of your Urgent Request on the Issue of the Tax Collection of Troop's Taxable Income (Min Di Shui Zheng [2000] No. 17), our reply is as follows:

Article 1 On the issues related to the collection of business tax on the rental income of the armed police and troop through exterior rent.
In accordance with Item 1 of Article 3 of Circular on the Issues Related to the Collection of Turnover Tax and Resource Tax on Units Affiliated with Military Troops and Military System (Cai Shui Zi [94]No.011) that "where service units affiliated with various units in military system(excluding military-sponsored enterprises) earn income through the internal service in the troop, business tax shall be exempted; where they derive income from engaging in business outside the troops, business tax shall be collected in accordance with regulations", business tax shall be levied on the house rental income and other taxable income earned through external business by the armed police and troop.

Article 2 On the issues related to the collection of enterprise income tax on the income of military public institutions through external paid service.
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