Paint production may be subject to consumption tax. Consumption tax is levied on taxable consumer goods produced, commissioned and imported at a reduced rate of 4%, and paints with VOC content below 420g/L (inclusive) in construction can be exempted. According to the provisions of Article 1 of the Provisional Regulations on Consumption Tax, the units and individuals that produce, process and import the consumer goods specified in these regulations in People's Republic of China (PRC), as well as other units and individuals designated by the State Council to sell the consumer goods specified in these regulations, are taxpayers of consumption tax and shall pay consumption tax in accordance with these regulations. Article 2 The items and tax rates of consumption tax shall be implemented in accordance with the Table of Items and Tax Rates of Consumption Tax attached to these Regulations. The adjustment of consumption tax items and tax rates shall be decided by the State Council.
2. What is the consumption tax levied by the coating industry?
In order to promote energy conservation and environmental protection, with the approval of the State Council, consumption tax will be levied on batteries and coatings from February 20 15/day. Paints with volatile organic compounds (VOC) content below 420g/l (inclusive) under construction are exempt from consumption tax.
3. How to declare the consumption tax on coatings?
Through the tax service office or the local online tax bureau.
4. Is it necessary to pay consumption tax for producing coatings?
It depends on the specific situation. If it is a paint with VOC content below 420g/L (inclusive) under construction, it will be exempted from consumption tax; Otherwise, you must declare and pay. The scope of consumption tax collection can be summarized as: the production, entrusted processing and import of taxable consumer goods. The consumption tax rate is 4%.
5. Is it necessary to levy value-added tax on paint consumption tax?
Levy consumption tax or value-added tax on paint. The production and sales of coatings belong to the sales of goods in the value-added tax and need to be paid. According to the first paragraph of Article 1 of the Provisional Regulations on Value-added Tax in People's Republic of China (PRC), units and individuals that sell goods or process, repair and repair services (hereinafter referred to as services), services, intangible assets, real estate and imported goods within the territory of People's Republic of China (PRC) are value-added tax payers and shall pay value-added tax in accordance with these regulations. Article 5 Taxpayers engaged in taxable sales shall calculate and collect value-added tax according to the sales amount and the tax rate stipulated in Article 2 of these Regulations, that is, the output tax. Calculation formula of output tax: output tax = sales tax rate. Article 6 Sales refers to the price and other expenses charged by taxpayers for taxable sales, but does not include the output tax already charged. Sales are calculated in RMB. Taxpayers who settle their sales in currencies other than RMB shall convert them into RMB. Extended information "Detailed Rules for the Implementation of the Provisional Regulations of the People's Republic of China on Value-added Tax" The term "selling goods" as mentioned in the first paragraph of Article 3 refers to the paid transfer of ownership of goods. The provision of processing, repair and replacement services (hereinafter referred to as taxable services) as mentioned in Article 1 of the Regulations refers to the provision of processing, repair and replacement services with compensation. Or employees employed by individual industrial and commercial households in their units provide processing, repair and replacement services for their own units or employers, which is not included. The term "paid" as mentioned in these Detailed Rules refers to obtaining money, goods or other economic benefits from the buyer. Article 4 The following acts of units or individual industrial and commercial households shall be regarded as selling commodities: (1) delivering commodities to other units or individuals for consignment; (2) consignment of goods; (three) taxpayers with more than two institutions and unified accounting transfer goods from one institution to other institutions for sale, except that the relevant institutions are located in the same county (city); (4) using the goods produced by itself or entrusted for sale for non-VAT taxable items; (5) using self-produced or entrusted commodities for collective welfare or personal consumption; (six) to provide other units or individual industrial and commercial households with self-produced, commissioned processing or purchased goods as investment; (seven) distribution of self-produced, commissioned processing or outsourced goods to shareholders or investors; (8) Providing self-produced, commissioned or outsourced goods to other units or individuals free of charge.
Scope of intransitive verb coating consumption tax
Legal analysis: At present, the scope of consumption tax collection mainly includes: cigarettes, alcohol, firecrackers, fireworks, cosmetics, refined oil, precious jewels and jade, golf balls and fixtures, high-end watches, yachts, wooden disposable chopsticks, solid wood floors, motorcycles, cars, batteries, paints and other tax items, and some tax items are subdivided into several subheads. According to Article 17 of the Announcement of Detailed Rules for the Implementation of the Provisional Regulations on Consumption Tax in People's Republic of China (PRC), the national average cost profit rate of batteries and coatings is 4% and 7% respectively. In order to strengthen the management of consumption tax on batteries and paints, the announcement clearly changed the large packaging of batteries and paints into small packaging, and regarded the outsourcing of batteries and paints as taxable consumption tax products for production and processing. Taxpayers who have such behavior should declare and pay consumption tax.