For reference, when individuals enjoy the full deduction policy for donations in response to the COVID-19 epidemic, the specific operation measures should be implemented in accordance with the Announcement of State Taxation Administration of The People's Republic of China of the Ministry of Finance on Individual Income Tax Policy for Charitable Donations (Announcement No.99 of State Taxation Administration of The People's Republic of China of the Ministry of Finance No.2019). According to Announcement No.99 of Caishui No.2019, if an individual can't get the donation bill in time, he can temporarily enjoy the deduction policy with the payment voucher of the donation bank.

How to issue invoices for free donations exempted from VAT during the epidemic?

Taxpayers' income from providing living services shall be exempted from value-added tax; Life services include cultural and sports services, education and medical services, tourism and entertainment services, catering and accommodation services, residents' daily services and other life services.

Free donation of value-added tax

Taxpayers' income from providing living services shall be exempted from value-added tax; Life services include cultural and sports services, education and medical services, tourism and entertainment services, catering and accommodation services, residents' daily services and other life services. In other words, restaurants, wedding companies, hotels and travel agencies and other related enterprises can enjoy the policy of exemption from value-added tax.

In accordance with Announcement No.9 of the Ministry of Finance in State Taxation Administration of The People's Republic of China, 2020, VAT shall be exempted, and special VAT invoices may not be issued, but ordinary invoices may be issued. Where an ordinary invoice indicating the tax rate or collection rate is issued, the words "Exemption" shall be filled in the column of tax rate or collection rate.

Announcement of State Taxation Administration of The People's Republic of China of the Ministry of Finance on Supporting Tax Policies for Prevention and Treatment of Pneumonia in novel coronavirus (No.8 of 2020, hereinafter referred to as Announcement No.8) stipulates that taxpayers' income from providing life services shall be exempted from value-added tax, and the specific scope of life services shall be implemented in accordance with Notes on Sales Services, Intangible Assets and Real Estate (No.36 of Caishui [20/KLOC-0]). This policy has been implemented since 2020.

Life services, including cultural and sports services, education and medical services, tourism and entertainment services, catering and accommodation services, residents' daily services and other life services, such as catering services, wedding services, accommodation services and tourism services provided by hotels, wedding companies, hotels and travel agencies, can enjoy relevant VAT exemption policies within the implementation period of Announcement No.8. 。

Can charitable donations be tax-free without invoicing during the epidemic?