5 Major Developments in China

5 Major Developments in China

• China to Implement Zero Tariffs on Coal Imports to End-2023

• China VAT on Foreign Digital Services Update

• China’s Tax and Fee Cuts, Refunds, Deferrals Top 4.2 trillion yuan in 2022

• New Provinces Joined to the Pilot Fully Digitalized E-Fapiao Program

• Latest draft VAT law published

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Coronavirus

• China to Implement Zero Tariffs on Coal Imports to End-2023

Customs

• U.S. Congressional Research Service Publishes Updated Report on Section 301 Tariff Exclusions on U.S. Imports from China

• China to adjust trade tariffs on some goods from Jan 1

• China waives VAT for some small-scale taxpayers in 2023

• US Customs: Additional data needed for China-origin goods

• U.S. guidance on Section 301 duties and product exclusions (imports from China)

• Revision of list of technologies prohibited and restricted from export

• China to Implement Zero Tariffs on Coal Imports to End-2023

Deduction (Input Tax Credit)

• China Clarifies 2023 VAT Incentives for Small-Scale Taxpayers and Lifestyle and Production Services

• China Provides VAT Exemption and Reduction for Small-scale Taxpayers in 2023 and Increased Input Deduction for Service Providers

Digital Services Tax

• China VAT on Foreign Digital Services Update

E-Commerce / Electronic Services

• China VAT on foreign digital services update

E-Invoicing

• National VAT e-invoicing targeted this year (2022)

• Expansion of the fully digitalized e-invoicing pilot program

• China special e-fapiao mandatory VAT invoice pilot expands

• New Provinces Joined to the Pilot Fully Digitalized E-Fapiao Program

Exemption

• China’s Exemption for Small Business Taxpayers was set to expire on 31 December 2022

• China to Cut Value-Added Tax Among Small Businesses Until Dec.
• China Provides VAT Exemption and Reduction for Small-scale Taxpayers in 2023 and Increased Input Deduction for Service Providers

• China Extends Small Business VAT Exemption

Export

• Revision of list of technologies prohibited and restricted from export

Implementation / Reform

• Chinese lawmakers to review draft VAT law

• Draft VAT law

• China Offers Tax Incentives and Reforms to Encourage Investment

• China’s New Draft VAT Law – How is it Different from Previous Tax Regulations?

• First round review of the draft PRC VAT Law

• China proposed VAT Law overhaul 2023

• China’s VAT legislation makes progress

• A milestone in the VAT legislation process

• China’s VAT legislation makes progress

• China: First review of the draft VAT Law

• Latest draft VAT law published

Importation

• U.S. guidance on Section 301 duties and product exclusions (imports from China)
• China to Implement Zero Tariffs on Coal Imports to End-2023

Invoice

• Notice for Beijing: Upgrade and maintenance of version 2.0 of the VAT invoice management system

Rate

• VAT for small businesses which are currently levied at 3% will be reduced to 1%

• China small businesses VAT cut for 2023

• China Small-Scale Taxpayers Rate Reduced

• China to Implement Zero Tariffs on Coal Imports to End-2023

Reporting Compliance

• WTS VAT newsletter #4 2022

Refund

• China Clarifies 2023 VAT Incentives for Small-Scale Taxpayers and Lifestyle and Production Services

• China’s Tax and Fee Cuts, Refunds, Deferrals Top 4.2 trillion yuan in 2022

SME (Small and Medium-Sized Enterprises)

• VAT for small businesses which are currently levied at 3% will be reduced to 1%
• China Clarifies 2023 VAT Incentives for Small-Scale Taxpayers and Lifestyle and Production Services
• China waives VAT for some small-scale taxpayers in 2023
• China Extends Small Business VAT Exemption

Taxable Person

• China to Cut Value-Added Tax Among Small Businesses Until Dec.