The Calculation methods
in this bok is compiled in accordance with Regulations on Customs Tariff of
the People's Republic of China ,Provisional Regulation on Value-added Tax of
the People's Republic of China and Provisional Regulations on Consumption
Tax of the People's Republic of China.
For the convenience of
usage,relevant explanations are listed below:
1.Import tax we mean
consists of import customs duty (ICD),value-add tax (VAT),and consumption
tax (CT) among which CT is levied on a few items of goods.Export tax
consisits of only export customs duty (ECD).
2.Import customs duty
rates we mean fall into general duty rates and preferetial duty rates.The
preferential duty rates apply to goods originally produced or manufactured
in countries with which the People's Republic of China has concluded trading
agreement.Otherwise,the general duty rates will be applied.
3.Calculation formulae
for tax collection
ICD=(CIF value)× ICD
rate
ICD=(FOB value/(1+ECD rate))ECD rate
VAT=(CIF value+ICD+CT)×VAT rate
Ad Valorem CT=((CIF value+ICD)/(1-CT rate))×CT rate
Specific CT=Quantity of goods×unit CT rate
Note:The following is
the conversion table of measurements of goods on which specific consumption
tax is levied (net bulk)
Beer 1 ton=988 litres
Millet wine 1 ton=962 litres
Gasoline 1 ton=1388 litres
Diesel 1 ton=1176 litres
Total Import Tax
=ICD+VAT+CT
=(ICD rate+CT rate+ICD rate×VAT rate)CIF value/ (1-CT rate)
=Coefficient×CIF value
4.To facilitate easy
calculation,we compiled tables of import tax coefficients for reference.The
following are the exemplary usage methods:
(1)The Table of Import
Tax Coefficient (Consumption Taxes Applicable) applies to goods on which the
consumption tax is levied.In viewof the statutory VAT rate is 17% for all
goods in this table,the user may first find the duty rate and consumption
tax rate of a particular type of goods in the table,then find the
coefficient where those two rates meet in the table.The import tax payable
equals the coefficient times the CIF value.
Taking cigarette made
of imported tobacco for example,we pressume that its CIF value is RMB 10000
with preferential duty rate 150%,consumption tax rate 45%,and VAT rate
17%,Referring to this table,the coefficient 4.3182 can be found at the
crossing point of above-mentioned cigarette is the coefficient times the CIF
value,that is 10000×4.3182=43182.
(2)The Table of Import
Tax Cofficients (Consumption Taxes Not Applicable) applies to goods on which
no consumption tax is levied.The user may first find the duty rate and VAT
rate of a particular type of goods in the table,then find the coefficient
where those two rates meet in the table.The total import tax is the
coefficient times the CIF value.
Taking spectacle piece
made of imported glass for example,we pressume that is CIF value is RMB
10000 with preferential duty rate 50% and VAT rate 17%,Referring to this table,the co-efficient 0.7550 can be found at the crossing point of duty
rate 50 and VAT rate 45,The total import tax payable is the coefficient
times the CIF value,that is,10000×0.7550 =7550.
5.As for as goods on
which Interim Duty Rate is appliable,ICD rate is no other than Interim Duty
Rate.