Measures of the Customs of People's Republic of China for Tax Collection and Administration on Imported and Exported Goods
Measures of the Customs of People's Republic of China for Tax Collection and Administration on Imported and Exported Goods
Measures of the Customs of People's Republic of China for Tax Collection and Administration on Imported and Exported Goods
Order of the General Administration of Customs No. 272
October 28, 2024
(Promulgated by Order of the General Administration of Customs No. 272 on October 28, 2024, Effective from December 1, 2024)
Chapter I General Provisions
Article 1 These Measures are enacted in accordance with the Customs Law of the People's Republic of China (hereinafter referred to as the "Customs Law"), the Tariff Law of the People's Republic of China (hereinafter referred to as the "Tariff Law"), and other laws and administrative regulations to ensure the implementation of national tax policies, strengthen the collection and administration of customs duties and taxes, ensure lawful taxation, safeguard national tax revenues, and protect the legitimate rights and interests of taxpayers.
Article 2 Tax collection and administration by Customs shall adhere to the principles of lawful administration, levying at established rates, and strict implementation of tax refunds and retroactive tax collection.
Article 3 These Measures shall apply to the collection and administration of import and export duties, as well as taxes collected by Customs on behalf of tax authorities during import (hereinafter referred to as “Import taxes via Customs”).
Import taxes via Customs include import value-added tax (“import VAT”) and import consumption tax.
Article 4 Consignees of imported goods are the taxpayers for import duties and Import taxes via Customs. Consignors of exported goods are the taxpayers for export duties.
E-commerce platform operators engaged in cross-border e-commerce retail imports, logistics enterprises, and customs declaration enterprises, as well as entities and individuals obligated under laws or administrative regulations to withhold and remit or to collect or remit customs duties and Import taxes via Customs, are the withholding agents for customs duties and Import taxes via Customs.
Article 5 Based on the actual needs of tax collection and administration, the General Administration of Customs (GAC) shall establish a Leading Group Coordination Mechanism for Comprehensive Tax Governance to guide Customs agencies nationwide in the collection and administration of import and export duties and taxes.
Article 6 Customs and its staff members shall maintain the confidentiality of any trade secrets, personal privacy, and personal information of taxpayers and withholding agents that they become aware of during the performance of their duties, and must not disclose or illegally provide such information to others.
Taxpayers and withholding agents may submit written requests to Customs for the confidentiality of their trade secrets, specifying the content that needs to be kept confidential, but they must not refuse to provide relevant materials to Customs on the grounds of trade secrets.
Chapter II Tax Computation and Levying
Section 1 Tax Declaration
Article 7 When importing or exporting goods, the taxpayer or withholding agent shall handle tax declaration and payment procedures in accordance with the law with Customs and submit relevant documents as required. When deemed necessary by Customs, the taxpayer or withholding agent shall also provide relevant materials required for determining the dutiable value, commodity classification, origin, etc. If the provided materials are in a foreign language, the taxpayer or withholding agent shall provide Chinese translations when required by Customs and shall be responsible for the completeness and accuracy of the translations.
Article 8 The taxpayer or withholding agent shall, in accordance with laws, administrative regulations, and relevant regulations, truthfully and properly declare tax-related information including the dutiable value, HS code, product name, specifications and model, origin, and quantity of the imported or exported goods, and calculate and declare the tax amounts to Customs.
Article 9 To determine the tax amounts payable for imported or exported goods, Customs may require the taxpayer or withholding agent to make supplementary declarations in accordance with relevant regulations. The taxpayer or withholding agent may also voluntarily request to make supplementary declarations if they deem it necessary.
Article 10 Before the actual import or export of goods, Customs may, upon application, make an advance ruling on elements related to the dutiable value of the imported goods or their valuation methods, as well as the commodity classification and origin of the imported or exported goods, in accordance with relevant regulations.
If the taxpayer or withholding agent imports or exports goods during the validity period of the advance ruling that fall within the same circumstances as the goods specified in the advance ruling, they shall declare based on the advance ruling, and Customs shall acknowledge it.
Section 2 Tax Amounts Payable
Article 11 The tax amounts payable for imported or exported goods shall be determined based on the dutiable value, commodity classification, origin, quantity, applicable tax rates and exchange rates for taxation.
Article 12 The applicable duty rates for imported or exported goods shall be determined in accordance with the provisions of the Tariff Law pertaining to most-favored-nation rates, conventional tariff rates, preferential tariff rates, general tariff rates, export tariff rates, tariff quota rates, or temporary rates.
The applicable import VAT rates and import consumption tax rates for imported goods shall be determined in accordance with relevant laws, administrative regulations, and related regulations.
For imported goods subject to anti-dumping measures, countervailing measures, safeguard measures, corresponding measures adopted based on the principle of reciprocity, or retaliatory tariffs, the tax rates shall be governed by the relevant laws, administrative regulations, and related regulations.
Article 13 Prices of imported or exported goods and related expenses denominated in foreign currencies shall be converted into Renminbi at the exchange rates for taxation, with the amounts rounded to the nearest cent, for calculating the dutiable value.
The exchange rates for taxation used by Customs each month shall be the middle rates of the Renminbi exchange rates published by the China Foreign Exchange Trade System, as authorized by the People's Bank of China, on the third Wednesday of the previous month. If the third Wednesday is not a trading day in the interbank foreign exchange market, the middle rates of the Renminbi exchange rates published on the next trading day shall be adopted. In the event of significant fluctuations in the above exchange rates, GAC may stipulate a different exchange rate for taxation if deemed necessary and publish it.
Article 14 The tax rates and exchange rates for taxation applicable to imported or exported goods shall be those in effect on the date when the taxpayer or withholding agent completes the declaration.
For imported goods that are declared in advance before arrival with Customs approval, the tax rates in effect on the date when the conveyance carrying the goods is declared for entry shall apply, and the exchange rates for taxation in effect on the date when the declaration is completed shall apply.
For imported goods under transit, the tax rates and exchange rates for taxation in effect on the date when the declaration is completed at the Customs of destination shall apply; if the goods are declared in advance before entry with Customs approval, the tax rates in effect on the date when the conveyance carrying the goods is declared for entry shall apply, and the exchange rates for taxation in effect on the date when the declaration is completed shall apply; if the goods are declared in advance after entry but before arrival at the destination with Customs approval, the tax rates in effect on the date when the conveyance carrying the goods arrives at the Customs of destination shall apply, and the exchange rates for taxation in effect on the date when the declaration is completed shall apply.
For exported goods under transit, the tax rates and exchange rates for taxation in effect on the date when the declaration is completed at the Customs of departure shall apply.
For imported or exported goods that are declared in a centralized manner with Customs approval, the tax rates and exchange rate for taxation in effect on the date when the declaration for each importation or exportation is completed shall apply.
For imported goods under the "two-step declaration" scheme, the tax rates and exchange rates for taxation in effect on the date when the summary declaration is completed shall apply.
For goods that are re-declared after the cancellation of the previous customs declaration form is approved in accordance with relevant regulations, the tax rates and exchange rate for taxation applicable to the initial customs declaration shall apply.
For imported goods legally auctioned off by Customs due to failure to declare within the prescribed time limit, the tax rates and exchange rates for taxation in effect on the date when the conveyance carrying the goods was declared for entry shall apply.
Article 15 In any of the following circumstances, the tax rates and exchange rates for taxation in effect on the date when the taxpayer or withholding agent handles the tax payment procedures shall apply:
(1) Bonded goods are not re-exported but diverted for domestic sales;
(2) Tax-exempt or tax-reduced goods are approved for transfer, diversion to other uses, or other dispositions;
(3) Temporarily imported goods are not re-exported, or temporarily exported goods are not re-imported; or
(4) Leased imported goods are purchased, or for which taxes are paid in installments.
Article 16 For the retroactive levying or refund of taxes on imported or exported goods, the applicable tax rates and exchange rates for taxation shall be determined in accordance with the provisions of Article 14 or Article 15 of these Measures.
If retroactive levying of taxes is required against a taxpayer or withholding agent due to their violation of regulations, the tax rates and exchange rates for taxation in effect on the date of the violation shall apply; if the date of violation cannot be determined, the tax rates and exchange rates for taxation in effect on the date when Customs discovers the violation shall apply.
Article 17 Customs duties shall be calculated based on ad valorem, specific, or compound duty rates in accordance with the provisions of the Tariff Law.
Import taxes via Customs shall be calculated based on the applicable tax categories, tax items, tax rates, and calculation formulas specified in relevant laws and administrative regulations.
Unless otherwise specified, customs duties and Import taxes via Customs payable shall be levied using the following calculation formulas:
Ad valorem duty payable = Dutiable value × Ad valorem rate of duty
Specific duty payable = Quantity of goods × Specific rate of duty
Compound duty payable = Dutiable value × Ad valorem rate of duty + Quantity of goods × Specific rate of duty
Ad valorem import consumption tax payable = [(Dutiable value + Duty payable) / (1 - Ad valorem rate of consumption tax)] × Ad valorem rate of consumption tax
Specific import consumption tax payable = Quantity of goods × Specific rate of consumption tax
Compound import consumption tax payable = [(Dutiable value + Duty payable + Quantity of goods × Specific rate of consumption tax) / (1 - Ad valorem rate of consumption tax)] × Ad valorem rate of consumption tax + Quantity of goods × Specific rate of consumption tax
Import VAT payable = (Dutiable value + Duty payable + Import consumption tax payable) × VAT rate
Article 18 In the event of an overage or shortage in imported or exported goods in bulk, the following provisions shall apply:
(1) If the overage is within 3% of the quantity specified in the contract or invoice, or if there is a shortage, taxes shall be levied based on the quantity specified in the contract or invoice;
(2) If the overage exceeds 3% of the quantity specified in the contract or invoice, taxes shall be levied based on the actual imported or exported quantity.
Article 19 Customs duties, Import taxes via Customs, late payment surcharges, interest, etc., shall be calculated in Renminbi, with the amounts rounded to the nearest cent.
The thresholds for levying customs duties, Import taxes via Customs, and late payment surcharges shall be based on the exemption limits for a single consignment of goods as stipulated by the State Council.
Section 3 Tax Payment
Article 20 The taxpayer or withholding agent shall pay taxes within 15 days from the date of completing the declaration, except in special circumstances where tax risk management is required.
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Order of the General Administration of Customs No. 272
October 28, 2024
(Promulgated by Order of the General Administration of Customs No. 272 on October 28, 2024, Effective from December 1, 2024)
Chapter I General Provisions
Article 1 These Measures are enacted in accordance with the Customs Law of the People's Republic of China (hereinafter referred to as the "Customs Law"), the Tariff Law of the People's Republic of China (hereinafter referred to as the "Tariff Law"), and other laws and administrative regulations to ensure the implementation of national tax policies, strengthen the collection and administration of customs duties and taxes, ensure lawful taxation, safeguard national tax revenues, and protect the legitimate rights and interests of taxpayers.
Article 2 Tax collection and administration by Customs shall adhere to the principles of lawful administration, levying at established rates, and strict implementation of tax refunds and retroactive tax collection.
Article 3 These Measures shall apply to the collection and administration of import and export duties, as well as taxes collected by Customs on behalf of tax authorities during import (hereinafter referred to as “Import taxes via Customs”).
Import taxes via Customs include import value-added tax (“import VAT”) and import consumption tax.
Article 4 Consignees of imported goods are the taxpayers for import duties and Import taxes via Customs. Consignors of exported goods are the taxpayers for export duties.
E-commerce platform operators engaged in cross-border e-commerce retail imports, logistics enterprises, and customs declaration enterprises, as well as entities and individuals obligated under laws or administrative regulations to withhold and remit or to collect or remit customs duties and Import taxes via Customs, are the withholding agents for customs duties and Import taxes via Customs.
Article 5 Based on the actual needs of tax collection and administration, the General Administration of Customs (GAC) shall establish a Leading Group Coordination Mechanism for Comprehensive Tax Governance to guide Customs agencies nationwide in the collection and administration of import and export duties and taxes.
Article 6 Customs and its staff members shall maintain the confidentiality of any trade secrets, personal privacy, and personal information of taxpayers and withholding agents that they become aware of during the performance of their duties, and must not disclose or illegally provide such information to others.
Taxpayers and withholding agents may submit written requests to Customs for the confidentiality of their trade secrets, specifying the content that needs to be kept confidential, but they must not refuse to provide relevant materials to Customs on the grounds of trade secrets.
Chapter II Tax Computation and Levying
Section 1 Tax Declaration
Article 7 When importing or exporting goods, the taxpayer or withholding agent shall handle tax declaration and payment procedures in accordance with the law with Customs and submit relevant documents as required. When deemed necessary by Customs, the taxpayer or withholding agent shall also provide relevant materials required for determining the dutiable value, commodity classification, origin, etc. If the provided materials are in a foreign language, the taxpayer or withholding agent shall provide Chinese translations when required by Customs and shall be responsible for the completeness and accuracy of the translations.
Article 8 The taxpayer or withholding agent shall, in accordance with laws, administrative regulations, and relevant regulations, truthfully and properly declare tax-related information including the dutiable value, HS code, product name, specifications and model, origin, and quantity of the imported or exported goods, and calculate and declare the tax amounts to Customs.
Article 9 To determine the tax amounts payable for imported or exported goods, Customs may require the taxpayer or withholding agent to make supplementary declarations in accordance with relevant regulations. The taxpayer or withholding agent may also voluntarily request to make supplementary declarations if they deem it necessary.
Article 10 Before the actual import or export of goods, Customs may, upon application, make an advance ruling on elements related to the dutiable value of the imported goods or their valuation methods, as well as the commodity classification and origin of the imported or exported goods, in accordance with relevant regulations.
If the taxpayer or withholding agent imports or exports goods during the validity period of the advance ruling that fall within the same circumstances as the goods specified in the advance ruling, they shall declare based on the advance ruling, and Customs shall acknowledge it.
Section 2 Tax Amounts Payable
Article 11 The tax amounts payable for imported or exported goods shall be determined based on the dutiable value, commodity classification, origin, quantity, applicable tax rates and exchange rates for taxation.
Article 12 The applicable duty rates for imported or exported goods shall be determined in accordance with the provisions of the Tariff Law pertaining to most-favored-nation rates, conventional tariff rates, preferential tariff rates, general tariff rates, export tariff rates, tariff quota rates, or temporary rates.
The applicable import VAT rates and import consumption tax rates for imported goods shall be determined in accordance with relevant laws, administrative regulations, and related regulations.
For imported goods subject to anti-dumping measures, countervailing measures, safeguard measures, corresponding measures adopted based on the principle of reciprocity, or retaliatory tariffs, the tax rates shall be governed by the relevant laws, administrative regulations, and related regulations.
Article 13 Prices of imported or exported goods and related expenses denominated in foreign currencies shall be converted into Renminbi at the exchange rates for taxation, with the amounts rounded to the nearest cent, for calculating the dutiable value.
The exchange rates for taxation used by Customs each month shall be the middle rates of the Renminbi exchange rates published by the China Foreign Exchange Trade System, as authorized by the People's Bank of China, on the third Wednesday of the previous month. If the third Wednesday is not a trading day in the interbank foreign exchange market, the middle rates of the Renminbi exchange rates published on the next trading day shall be adopted. In the event of significant fluctuations in the above exchange rates, GAC may stipulate a different exchange rate for taxation if deemed necessary and publish it.
Article 14 The tax rates and exchange rates for taxation applicable to imported or exported goods shall be those in effect on the date when the taxpayer or withholding agent completes the declaration.
For imported goods that are declared in advance before arrival with Customs approval, the tax rates in effect on the date when the conveyance carrying the goods is declared for entry shall apply, and the exchange rates for taxation in effect on the date when the declaration is completed shall apply.
For imported goods under transit, the tax rates and exchange rates for taxation in effect on the date when the declaration is completed at the Customs of destination shall apply; if the goods are declared in advance before entry with Customs approval, the tax rates in effect on the date when the conveyance carrying the goods is declared for entry shall apply, and the exchange rates for taxation in effect on the date when the declaration is completed shall apply; if the goods are declared in advance after entry but before arrival at the destination with Customs approval, the tax rates in effect on the date when the conveyance carrying the goods arrives at the Customs of destination shall apply, and the exchange rates for taxation in effect on the date when the declaration is completed shall apply.
For exported goods under transit, the tax rates and exchange rates for taxation in effect on the date when the declaration is completed at the Customs of departure shall apply.
For imported or exported goods that are declared in a centralized manner with Customs approval, the tax rates and exchange rate for taxation in effect on the date when the declaration for each importation or exportation is completed shall apply.
For imported goods under the "two-step declaration" scheme, the tax rates and exchange rates for taxation in effect on the date when the summary declaration is completed shall apply.
For goods that are re-declared after the cancellation of the previous customs declaration form is approved in accordance with relevant regulations, the tax rates and exchange rate for taxation applicable to the initial customs declaration shall apply.
For imported goods legally auctioned off by Customs due to failure to declare within the prescribed time limit, the tax rates and exchange rates for taxation in effect on the date when the conveyance carrying the goods was declared for entry shall apply.
Article 15 In any of the following circumstances, the tax rates and exchange rates for taxation in effect on the date when the taxpayer or withholding agent handles the tax payment procedures shall apply:
(1) Bonded goods are not re-exported but diverted for domestic sales;
(2) Tax-exempt or tax-reduced goods are approved for transfer, diversion to other uses, or other dispositions;
(3) Temporarily imported goods are not re-exported, or temporarily exported goods are not re-imported; or
(4) Leased imported goods are purchased, or for which taxes are paid in installments.
Article 16 For the retroactive levying or refund of taxes on imported or exported goods, the applicable tax rates and exchange rates for taxation shall be determined in accordance with the provisions of Article 14 or Article 15 of these Measures.
If retroactive levying of taxes is required against a taxpayer or withholding agent due to their violation of regulations, the tax rates and exchange rates for taxation in effect on the date of the violation shall apply; if the date of violation cannot be determined, the tax rates and exchange rates for taxation in effect on the date when Customs discovers the violation shall apply.
Article 17 Customs duties shall be calculated based on ad valorem, specific, or compound duty rates in accordance with the provisions of the Tariff Law.
Import taxes via Customs shall be calculated based on the applicable tax categories, tax items, tax rates, and calculation formulas specified in relevant laws and administrative regulations.
Unless otherwise specified, customs duties and Import taxes via Customs payable shall be levied using the following calculation formulas:
Ad valorem duty payable = Dutiable value × Ad valorem rate of duty
Specific duty payable = Quantity of goods × Specific rate of duty
Compound duty payable = Dutiable value × Ad valorem rate of duty + Quantity of goods × Specific rate of duty
Ad valorem import consumption tax payable = [(Dutiable value + Duty payable) / (1 - Ad valorem rate of consumption tax)] × Ad valorem rate of consumption tax
Specific import consumption tax payable = Quantity of goods × Specific rate of consumption tax
Compound import consumption tax payable = [(Dutiable value + Duty payable + Quantity of goods × Specific rate of consumption tax) / (1 - Ad valorem rate of consumption tax)] × Ad valorem rate of consumption tax + Quantity of goods × Specific rate of consumption tax
Import VAT payable = (Dutiable value + Duty payable + Import consumption tax payable) × VAT rate
Article 18 In the event of an overage or shortage in imported or exported goods in bulk, the following provisions shall apply:
(1) If the overage is within 3% of the quantity specified in the contract or invoice, or if there is a shortage, taxes shall be levied based on the quantity specified in the contract or invoice;
(2) If the overage exceeds 3% of the quantity specified in the contract or invoice, taxes shall be levied based on the actual imported or exported quantity.
Article 19 Customs duties, Import taxes via Customs, late payment surcharges, interest, etc., shall be calculated in Renminbi, with the amounts rounded to the nearest cent.
The thresholds for levying customs duties, Import taxes via Customs, and late payment surcharges shall be based on the exemption limits for a single consignment of goods as stipulated by the State Council.
Section 3 Tax Payment
Article 20 The taxpayer or withholding agent shall pay taxes within 15 days from the date of completing the declaration, except in special circumstances where tax risk management is required.
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