The collection of value-added tax usually includes all links in the production, circulation or consumption process. It is a neutral tax based on value-added or price difference. Theoretically, it includes all agricultural industries (planting, forestry and animal husbandry), mining, manufacturing, construction, transportation and commercial services. Or all links of raw material procurement, manufacturing, wholesale, retail and consumption.
Value-added tax was invented by French economist Maurice Laurie in 1954. At present, 45% of the French government's income comes from value-added tax.
1. Taxpayer
Taxpayers of value-added tax include all kinds of enterprises, units, individual operators and other individuals who sell and import goods and provide processing, repair and replacement services (hereinafter referred to as taxable services) in China.
2. Tax items and tax rates
The list of VAT tax items and tax rates explains the range of tax items and tax rates.
1. Selling or importing goods (except those listed) 17% Paragraph 1 of Article 2 of the Provisional Regulations on Value-added Tax in People's Republic of China (PRC) stipulates: "Taxpayers selling or importing goods, except those specified in Items (2) and (3) of this article, have a tax rate of 17%."
Two. Processing, repair and replacement services: Article 2 of the Provisional Regulations on Value-added Tax of People's Republic of China (PRC) 17% VAT rate. The fourth paragraph stipulates: "Taxpayers provide processing, repair and replacement services at a tax rate of 17%."
Three. 13% of agricultural products include plants and animals.
1. Plant grains, including miscellaneous grains such as wheat, rice, corn, sorghum and millet, and food replicas such as Daoxiao Noodles, dumpling skin, wonton skin, rice skin and rice flour, which are processed by grinding and hulling, also belong to the tax scope of the goods. Snacks made from beans are not included.
Vegetables include all kinds of vegetables, fungi and a few woody plants that can be used as non-staple food. Vegetables, pickles, pickles and pickles processed by drying, cold storage, freezing, packaging and dehydration also belong to the tax scope of the goods.
Tobacco leaves include sun-cured tobacco leaves, air-cured tobacco leaves and cured tobacco leaves.
Tea includes all kinds of raw tea.
Horticultural plants refer to edible fruits. Horticultural plants processed by freezing, cold storage, packaging and other processes also belong to the tax scope of the goods.
Medicinal plants, such as slices, silk, blocks, segments and other Chinese herbal pieces processed from medicinal plants, also belong to the tax scope of the goods.
Oil plants that extract aromatic oil also belong to the tax scope of this goods.
The degummed fiber plant cotton linter and refined (washed) hemp made of hemp fiber also belong to the tax scope of this commodity.
sugar plant
Forest products, including logs, raw bamboo, natural resin and other forest products, such as salted bamboo shoots, also belong to the tax scope of the goods.
Other plants, such as dried flowers, hay, dried potatoes, dried seaweed and agricultural products, also belong to the tax scope of the goods.
2. Animal aquatic products include fish, shrimp, crab, turtle, shellfish, echinoderms, mollusks, coelenterates, marine mammals, fry (eggs), shrimp fry, crab fry, shellfish fry (seedlings), and aquatic products that have been frozen, refrigerated, salted and packaged. Dried fish, shrimp, crab, shellfish, echinoderms, mollusks, coelenterates, etc. , as well as shells and pearls that have not been processed into handicrafts, also belong to the tax scope of this commodity.
Animal husbandry products include? Animals, birds and reptiles? Meat products of mammals, birds and reptiles? Egg products? Fresh milk, raw meat products of various animals, birds and reptiles also belong to the scope of taxation, as do processed salted eggs, preserved eggs and preserved eggs.
Untanned animal hides soaked, scraped, depilated, dried or smoked in clear water, salt water or antiseptic drugs also belong to the tax scope of the goods.
Animal plush
Other animal tissues include silkworm cocoons, natural honey, animal resin and other animal tissues.
Self-produced agricultural products sold by agricultural producers are exempt from value-added tax.
4. Grain and edible vegetable oil 13% of grain includes rice; Rice; Soybean; Wheat; Miscellaneous grains; Fresh sweet potato, dried sweet potato, sweet potato powder; Processed flour (except all kinds of fancy flour) starch does not belong to the scope of agricultural products, and value-added tax should be levied at 17%.
Edible vegetable oil includes edible oil extracted from plants and mixed oil produced from plants.
5.65,438+03% of other goods include tap water, heating, air conditioning, hot water, gas, liquefied petroleum gas, natural gas, biogas, books, newspapers, magazines, feed, fertilizers, pesticides, agricultural machinery and other goods specified by the State Council.
Six, export sales of goods 0 crude oil, diesel oil, foreign aid export goods, natural bezoar, musk, copper and copper-based alloys, platinum, sugar, newsprint and other national regulations will not be refunded.
[Edit] Description of VAT rate
First, the general taxpayer can calculate and pay the value-added tax at the rate of 6% according to the simple method when producing the following goods.
(a) the electricity produced by small hydropower units below the county level;
(2) Sand, soil and stone used for building and producing building materials;
(3) Bricks, tiles and lime continuously produced from self-dug sand, soil, stone or other minerals;
(4) mixing raw materials with coal gangue, stone coal, fly ash, bottom slag of coal-fired boilers and other waste residues (excluding blast furnace slag) to produce wall materials;
(5) Biological products made of microorganisms, microbial metabolites, animal toxins, human or animal blood or tissues.
2. The value-added tax rate of metal ore mining products and non-metal ore mining products is adjusted from 17% to 13%.
3. VAT general taxpayers can sell tap water at the rate of 6%.
Four, the sales of goods in cultural relics shops and auction houses are levied at the tax rate of 6%.
Five, consignment shops consignment goods, pawn goods sold by the pawn industry at the tax rate of 6%.
Six, units and individual operators to sell their own old yachts, motorcycles and cars to collect consumption tax, according to the rate of 6% to calculate and pay value-added tax.
Seven, the sale of their own use of other fixed assets belonging to the goods, temporarily exempt from VAT.
Note: "Used other fixed assets belonging to commodities" shall meet the following conditions at the same time:
(1) Goods listed in the Catalogue of Fixed Assets of Enterprises;
(2) Goods managed and actually used by enterprises according to fixed assets;
(3) Goods whose selling price does not exceed their original value.
If the above conditions are not met at the same time, value-added tax will be levied at the rate of 6% regardless of the accounting system.
Eight, small-scale VAT taxpayers sell imported goods at a tax rate of 6% and provide processing, repair and replacement services at a tax rate of 6%.
Nine, other units and individuals outside the postal department sell philatelic products and collect value-added tax.
Ten, the value-added tax general taxpayer to buy agricultural products from small-scale taxpayers, can be regarded as duty-free agricultural products according to the deduction rate 10% to calculate the input tax.
XI. The waste materials recovered by the factory shall be calculated at the deduction rate of 10%.
Twelve, the general taxpayer of value-added tax shall calculate the input tax according to the freight amount on the invoice at the deduction rate of 10%. If the transportation expenses and other miscellaneous expenses are listed together, the input tax shall not be calculated.
[Edit] Matters related to VAT rate adjustment
After the introduction of the VAT regulations and detailed rules for implementation, the state adjusted the tax categories according to the needs, mainly including:
(1) Agricultural water pumps and agricultural diesel engines are subject to VAT at the agricultural product tax rate of 13%.
(2) The value-added tax of agricultural products is adjusted from 17% to 13%.
(3) For the following goods produced by ordinary taxpayers, the VAT rate of 6% can be calculated in a simple way:
1. Power produced by small hydropower units below the county level;
2. Sand, stone and stone used for building and producing building materials;
3. Bricks, tiles and lime continuously produced from self-dug sand, soil, stone or other minerals;
4. Biological products made of microorganisms, microbial metabolites, animal toxins or animal blood or tissues;
5. Sell tap water.
(4) The value-added tax rate of metal ore mining products and nonmetal ore mining products is adjusted from 17% to 13%. However, crude oil, finished crude oil and well salt are still taxed at the rate of 17%.
(5) After simple processing, such as red oil, cottonseed oil, Daoxiao Noodles, dumpling skin, rice flour, etc. , VAT is levied at 13%.
(6) Value-added tax is calculated and paid at the rate of 6% in a simple way regardless of whether the general tax is applicable to the sales unit.
(7) Units and individual operators who sell yachts, motorcycles and automobiles subject to consumption tax, regardless of whether the sellers are ordinary taxpayers, shall calculate and levy 6% value-added tax according to the simple method.
[Edit] Main tax exemption clauses
Self-produced primary agricultural products sold by agricultural production units and individuals; Processing re-exported goods with supplied materials; Self-use equipment imported within the total investment of foreign investment projects and domestic investment projects encouraged by the state; Contraceptive drugs and appliances; Used books purchased from the society; Imported instruments and equipment directly used for scientific research, scientific experiments and teaching; Imported materials and equipment provided free of charge by foreign governments and international organizations; Goods for the disabled directly imported by organizations for the disabled may be exempted from value-added tax.
[Edit] VAT calculation method
VAT is usually calculated by tax deduction method, [[tax payable ]]=(c+v+m)×[[ tax rate ]]-c× tax rate, that is, tax payable = total sales × tax rate-input× tax rate.
[Edit] China VAT tax calculation method
(1) Tax calculation method for general taxpayers
When calculating the value-added tax payable, ordinary taxpayers first calculate their current output tax and input tax respectively, and then take the balance after deducting the input tax from the output tax as the actual tax payable.
Calculation formula of tax payable:
Taxable amount = current output tax-current input tax
Current output tax = current sales × applicable tax rate
(2) the taxation method of small-scale taxpayers
The sales amount obtained by small-scale taxpayers from selling goods or taxable services shall be calculated according to the prescribed applicable levy rate (4% for businesses and 6% for other industries).
Calculation formula of tax payable:
Taxable amount = sales amount × applicable tax rate
(3) Tax refund for imported goods
Taxpayers shall calculate the value-added tax payable for imported goods according to the composition of taxable value and the prescribed applicable tax rate.
(4) Tax refund for export goods
Taxpayers who export goods with zero tax rate may apply to the tax authorities for VAT refund of exported goods in accordance with regulations.
At present, the export tax rebate rate is divided into six grades: 5%, 6%, 9%, 1 1%, 13%, 17%.
[Edit] Value-added tax and consumption tax
The difference between value-added tax and consumption tax is that value-added tax is levied in the value-added part of every commercial link, while consumption tax is levied in the final sale to consumers.
[Edit] Example
Suppose a commodity is produced and sold.
[Editor] There is no consumption tax.
The manufacturer spends $65438+$0.00 to buy raw materials and produce a product.
The manufacturer sold the goods to the retailer at the price of $65,438+$0.20, with a profit of $0.20.
The retailer sold the goods to consumers at the price of $65,438+$0.50, with a profit of $0.30.
[Editor] American consumption tax
Assume that the local consumption tax is 10%.
The manufacturer spent 1.00 USD on raw materials, but it is not the end consumer.
The manufacturer sells the goods to the retailer at the price of $65,438+$0.20, but it is not the end consumer, and can make a profit of $0.20.
Retailers sell goods to consumers at the price of $65,438+$0.65 ($65,438+$0.50+$65,438 +00%), and pay taxes of $0.65,438+$05 to the government, with a profit of $0.30.
Therefore, the final consumers need to pay an extra consumption tax of 10% to the government, and retailers will not suffer direct losses due to the consumption tax, but they need to undertake additional administrative work, and raw material suppliers and manufacturers will not be affected, but they need to verify whether their customers are final consumers.
[Edit] VAT
Suppose a certain place levies 10% goods and services tax (a kind of value-added tax):
The role of tax payable on the final selling price of goods and service tax on the original selling price.
Raw material suppliers 50 dollars, 5 dollars, 55 dollars, 5 dollars.
Manufacturer $150 $15 $165 $15-$5 =10.
Retailer $250 $25 $275 $25-$15 =10
Total GST is $25.
Raw material suppliers sell raw materials with an original price of $50 to manufacturers, and they need to charge an additional $5 goods and services tax. The $5 overcharged by raw material suppliers will be turned over to the tax authorities in full.
When the manufacturer sells the goods with the original price of $ 150 to the retailer, it needs to pay an additional goods and services tax of $ 15. Of the 15 USD overcharged by the manufacturer, $5 is the goods and services tax paid before, and the remaining 10 USD should be handed over to the tax authorities.
Retailers who sell goods with an original price of $250 to consumers need to charge an additional $25 goods and services tax. Of the $25 overcharged by retailers, $65,438+05 is the goods and services tax paid before, and the remaining $65,438+00 will be handed over to the tax authorities.
The tax authorities collected $5, $65,438+00 and $65,438+00 from raw material suppliers, manufacturers and retailers respectively, totaling $25, accounting for 65,438+00% of the original price of $250.
Value-added tax chain is the key to understand value-added tax.
The following conclusions can be drawn from the VAT chain:
First, for value-added tax, from the government's fiscal revenue and the tax burden of consumers. The effect of multiple tax rates is the same as that of single tax rate.
2. For VAT taxpayers, the tax exemption policy is not a tax preference.
[edit] restrictions
In the above example, we assume that the quantity of goods produced and sold before and after tax is the same, but this is not the case in real life.
The supply-demand diagram in taxable market is based on the principle of supply and demand, because consumption tax or value-added tax will increase the cost and tilt the demand curve or supply curve to the left. This is functionally the same. Therefore, the purchase quantity and/or the sales price will be reduced.
The above example does not include the change of supply and demand, because this effect is different for different commodities. The above example assumes that this tax will not be distorted.
As some people's prices rise, the number of goods traded will decrease. Relatively speaking, some people will lose more than the government can get from taxes, mainly because of the change of supply and demand, which is also called meaningless loss. If the economic system loses more income than the government gains, or the government spends more than "consumes" tax, then this is an inefficient tax. When distortion occurs, consumption tax or value-added tax will be considered superior, because they distort investment desire and make consumption decline.
In the left picture, the triangle area, the original supply curve and demand curve brought by tax represent the weight loss, and the gray area represents the tax revenue.
[Editor] Criticism of Value-added Tax
The criticism of value-added tax mainly lies in its regressive tax nature, and the tax will eventually be transferred to the final consumers, especially when the government levies taxes on necessities and food. Relatively speaking, the proportion of value-added tax paid by low-income people in their income is higher than that of high-income people, which is easy to deepen the gap between the rich and the poor. Suppose the tax rate is 5%. A low-income person with an annual income of $80,000 is not required to pay salaries tax., If he spends $70,000 a year, he will have to pay an extra 3,000 500 yuan tax. As for a high-income person with an annual income of US$ 65,438+0,000,000 and an annual expenditure of US$ 65,438+0,000,000, if the government reduces the salary tax by 5%, it can save US$ 5 million and pay US$ 500,000 in value-added tax, which is * a year.
In addition, because personal income should be taxed, business activities should also pay profits tax, and some goods and services will also have their own taxes (such as wine, cigarettes, fuel, cars, etc. ), and then collecting value-added tax is double taxation.
Generally speaking, the tax revenue that the government can receive in the end will be lower than expected, because it is difficult to implement and the administrative expenses are high.
Because export goods and services are generally not taxed, it is easy to lead to fraud cases such as false reports. If the import tariff is lower than the value-added tax, there may also be tax avoidance methods for re-importing and exporting.
For small enterprises, in order to avoid increasing costs, some governments may exempt them from taxes, but this has caused unfairness.
[Editor] People's Republic of China (PRC) VAT
Main items: value-added tax (People's Republic of China (PRC))
People's Republic of China (PRC) introduced value-added tax from 1979, and then carried out two stages of reform:
The first stage is 1983 VAT reform: this reform belongs to the transitional stage of VAT. At this time, the value-added tax is carried out on the basis of product tax, with narrow taxation scope, many tax rates, complicated calculation methods and traces of product tax, which belongs to denatured value-added tax.
The second stage, the tax reform, belongs to the standard stage of value-added tax. Referring to the international practice, combined with the actual situation in Chinese mainland, we expanded the scope of taxation, reduced and merged the tax rate, standardized the calculation method, and began to enter the international standardization ranks. It is the largest tax in Chinese mainland, accounting for about 60% of tax revenue, but it has some defects.
According to1Provisional Regulations on Value-added Tax in People's Republic of China (PRC) promulgated in February, 1993, the scope of collection of value-added tax: units and individuals that sell goods or provide processing, repair and replacement services and import goods in China are taxpayers of value-added tax; The tax rate is divided into three parts: 13%, 17% and exemption. In the specific implementation process, the tax collection objects are divided into general taxpayers and small-scale taxpayers, and different tax calculation and management methods are adopted according to different tax collection objects.
Applicable laws and regulations: In addition to the general laws and regulations related to taxation, the professional laws and regulations related to VAT management and collection in Chinese mainland include
Provisional Regulations on Value-added Tax in People's Republic of China (PRC) (No.19931February 13 the State Council Order (1993)No. 134);
Detailed Rules for the Implementation of the Provisional Regulations of the People's Republic of China on Value-added Tax (199365438+No.038 of February 25th, 2008);
The determination method is applicable to general taxpayers of value-added tax (1994 03 15, Guo Shui Fa 1994 059);
Measures for the Administration of the Collection of Small-scale VAT Taxpayers (Guo Shui Fa 1994 and Guo Shui Fa 1 16);
Measures for the Tax Declaration of General VAT Taxpayers (Guo Shui Fa 1999 No.65438 March 2).