Dalian City, Export Processing Zone Taxation Policies

Published: 23 May 2001

Main contents: The Policies comprise 13 articles in three sections. Section One outlines taxation policies for imported goods entering the Dalian Export Processing Zone (EPZ). Section Two describes tax reimbursement policies for domestic goods entering the EPZ. Section Three describes other policies. Machinery, equipment, molds and maintenance parts required for production can be imported free of tax (Section One, Item 1). Machinery, equipment and basic materials and items needed for the construction of factories and warehousing facilities can be imported free of tax (Section One, Item 2). Raw and semi-processed materials, components, packaging materials and consumable materials must be bonded (Section One, Item 4). Domestic goods entering the Dalian EPZ will be considered items for export and tax reimbursement procedures are required to be completed according to the provisions relevant to the respective item (Section Two, Item 1). When imported goods and materials are obtained domestically and brought into the EPZ, the obtaining enterprise should provide an inventory list to Customs and carry out customs formalities. Import duty, value-added tax and excise duty already paid on the items will not be reimbursed (Section Two, Item 3). Customs will perform the respective customs and taxation procedures when products from the EPZ are sold domestically (Section Three, Item 1) National value-added tax and excise duties will not be levied on products produced in the EPZ (Section Three, Item 2). Import and export quotas and licensing requirements will not apply to goods imported and exported between the EPZ and foreign countries (Section Three, Item 3).