Legislation roundup: Value-added and consumption taxes, and online rumors
December 05, 2019 | BY
Susan MokLaw drafts are released on value-added and consumption taxes redefining eligible taxpayers while online audio and video information service providers are required to establish a rumor refutation mechanism.
Tax
Ministry of Finance and State Administration of Taxation, PRC Value-Added Tax Law (Draft for Comments)
The value-added tax threshold is a quarterly sales turnover of Rmb300,000. Entities and individuals whose sales turnover does not reach the value-added tax threshold are not taxpayers for the purposes of the Law, but may voluntarily opt to pay value-added tax in accordance with the Law.
The tax is levied at the three rates of 13%, 9% and 6%.
Further reading
Ministry of Finance and State Administration of Taxation, PRC Consumption Tax Law (Draft for Comments)
Entities and individuals that sell, commission the processing of or import taxable consumer goods in or into the People's Republic of China are payers of consumption tax and shall pay such tax.
A taxpayer that sells taxable consumer goods at the production, wholesaling or retailing stage shall pay consumption tax.
A taxpayer shall pay consumption tax on taxable consumer goods that are for its/his/her own use and not meant for sale to third parties.
Further reading
Cybersecurity
Cyberspace Administration of China, Ministry of Culture and Tourism and National Radio and Television Administration, Provisions for the Administration of Online Audio and Video Information Services
An online audio and video information service provider shall establish and improve a rumor refutation mechanism, and if it discovers an online audio and video information service user using false images based on deep learning, virtual reality, etc. or audio-video generation technology to produce, publish and disseminate rumors, it shall take the appropriate rumor refutation measures in a timely manner and file the relevant information with the cyberspace administration, culture and tourism, and radio and television departments for the record.
Further reading
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