In such circumstances, an agent or the customer may withhold the VAT due. The Fapiao´s appearance is quite close to the appearance of a western bill. Check how VAT number is called in national language of each EU country . The 2016 ediTion of The China CounTry Value added Tax (VaT) essenTials Guide proVides an oVerView of The indireCT Tax sysTem in mainland China. In western countries issued bills state the VAT amount, in China it is the so called Fapiao. The 5% VAT rate is applicable for particular real estate transactions in China since 2016. The China Sourcing Information Center says itâs important for foreign buyers to know the VAT rebate amount in order to ascertain a supplierâs true pricing. Additional tools ; VIES VAT number validation. Share a link to this. The sample VAT number for a business in Germany. By continuing to use the site, you agree to our cookie policy. Value added tax was introduced in China in the year 1984. All importers and exporters in China are required to register with Customs authorities for an importer or exporter Customs Registration code (CR Code), or engage with an agent who has the CR Code and is authorized to act as the importer or exporter of record for their shipments. This is dependent on the activities of the business. China also has some zero-rated goods, the sale of which must still be reported on your VAT return, even though no VAT is charged. Know someone who can answer? If you have an answer for this question, then please use the Your Answer form at the bottom of the page instead. If you want the poster to clarify the question or provide more information, please leave a comment instead, requesting additional details. RMB 500,000 (US $75,400) for industrial taxpayers (i.e., enterprises … We use cookies to help us improve, promote and protect our services. Smaller taxpayers enjoy a lower tax rate but general taxpayers hav… It applies to most goods and services. China Tax Alert - Issue 12, March 2019. The reform began as a Shanghai -based pilot program â a popular method for incubating reforms in the country â in 2012 before expanding to other cities and nationwide to all sectors in 2016. What is the VAT rate in my country? The VAT is considered as a neutral tax in China that allows businesses to deduct their contributions paid on business-relevant purchases or operations from their own corresponding VAT rate. As per Chinese VAT number length which is 18 characters, we have been requested by Tax Department to fit the field STCD1 (current maximum length of 16) to this need. As per Chinese VAT number length which is 18 characters, we have been requested by Tax Department to fit the field STCD1 (current maximum length of 16) to this need. By signing up, you agree and accept the Terms of Use, Master Terms, Pricing and Data Protection Agreement. Search for notes on STCD5. Under the VAT, taxpayers fall into one of two categories based on their annual taxable sales amount: general taxpayers or small-scale taxpayers. Email: eoicompetentauthority@chinatax.gov.cn Under this header, jurisdictions would provide the contact details of the competent service within their tax administration, which can be contacted in case of further questions on TINs. In other words, your business can never share a VAT number with a different company in the same country. Reducing VAT rates. 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