The first is to change the scope of gold and silver jewelry subject to consumption tax in retail links.
The scope of gold and silver ornaments for which consumption tax is levied on retail links is limited to: gold, silver and gold-based and silver-based alloy ornaments, as well as gold, silver and gold-based and silver-based alloy inlaid ornaments (hereinafter referred to as gold and silver ornaments). For the production and business units that sell both gold and silver jewelry and non-gold and silver jewelry, they should clearly divide the two types of goods and account for their sales separately. If the division is unclear or cannot be accounted for separately, if it is sold in the production process, the consumption tax will be levied at the high applicable tax rate; Sales in the retail sector will be subject to consumption tax on gold and silver jewelry.
Second, the tax basis
(1) The tax basis for taxpayers to sell gold and silver jewelry is sales excluding VAT, and its calculation formula is: sales of gold and silver jewelry excluding VAT = sales including VAT (1+ VAT rate or collection rate).
(2) The sales of gold and silver jewelry together with packaging materials, regardless of whether the packaging materials are separately priced or not, are included in the sales of gold and silver jewelry and are subject to consumption tax.
(3) The gold and silver jewelry entrusted by Party A shall be taxed according to the sales price of similar gold and silver jewelry sold by the trustee. If there is no sales price for similar gold and silver jewelry, it shall be taxed according to the composition taxable value, and the calculation formula is: composition taxable value = (material cost+processing fee) (1- consumption tax rate for gold and silver jewelry).
(4) For gold and silver ornaments (including renovation and restructuring) sold at a discount by taxpayers, the tax basis shall be determined according to the actual total price excluding value-added tax, and consumption tax shall be levied.
(five) business units use gold and silver jewelry for gifts, sponsorship, fund-raising, advertising, samples, employee benefits, incentives, etc. The tax basis is determined according to the sales price of similar gold and silver jewelry sold by taxpayers, and consumption tax is levied. If there is no sales price for similar gold and silver jewelry, the tax shall be calculated according to the constituent taxable value.
Consumption tax is a typical indirect tax. It is the general name of all kinds of taxes that tax the turnover of consumer goods. This is a tax levied by the government on consumer goods, which can be collected from wholesalers or retailers. Gold and silver jewelry, diamonds and diamond jewelry are subject to the consumption tax of the retail department.