Duty-free agricultural products are exempt from value-added tax. Duty-free agricultural products refer to the primary agricultural products of planting, aquaculture, forestry, animal husbandry and aquaculture. These primary agricultural products must be produced and sold by agricultural producers (individuals or units) to be tax-free. Article 15 of the Provisional Regulations on Value-added Tax in People's Republic of China (PRC) shall be exempted from value-added tax: (1) Self-produced agricultural products sold by agricultural producers; (2) Contraceptive drugs and devices; (3) old books; (4) Imported instruments and equipment directly used for scientific research, scientific experiments and teaching; (5) Imported materials and equipment provided free of charge by foreign governments and international organizations; (six) articles for the disabled directly imported by organizations for the disabled; (7) selling articles for personal use. In addition to the provisions of the preceding paragraph, the items of tax exemption and reduction of value-added tax shall be stipulated by the State Council. No region or department may stipulate tax exemption or reduction items. The scope of some tax-exempt items stipulated in Articles 35 and 15 of the Provisional Regulations on Value-added Tax is limited as follows: (1) The agriculture mentioned in Item (1) of the first paragraph refers to planting, aquaculture, forestry, animal husbandry and aquaculture. Agricultural producers, including units and individuals engaged in agricultural production. Agricultural products refer to primary agricultural products, and the specific scope is determined by the Ministry of Finance of People's Republic of China (PRC) and State Taxation Administration of The People's Republic of China. (2) The term "antique books" as mentioned in Item (3) of the first paragraph refers to antique books and second-hand books purchased by the society. (3) The articles for personal use mentioned in Item (7) of the first paragraph refer to articles for personal use by other individuals.

Legal objectivity:

"Provisional Regulations on Value-added Tax in People's Republic of China (PRC)" Article 21 When making taxable sales, a taxpayer shall issue a special VAT invoice to the buyer who asks for a special VAT invoice, and indicate the sales amount and output tax separately on the special VAT invoice. Under any of the following circumstances, a special VAT invoice may not be issued: (1) The buyer of taxable sales is an individual consumer; (2) The tax exemption clause applies to taxable sales.