The draft of vehicle purchase tax law is released, you need to understand the following points

Yesterday, the Ministry of Finance and the State Administration of Taxation issued the "People's Republic of China Vehicle Purchase Tax Law (Draft for Soliciting Opinions)" to publicly solicit opinions from the public.

The “Draft for Soliciting Opinions” adopts a tax shift method to increase the “Provisional Regulations on Vehicle Purchase Tax of the People's Republic of China” to the law; the “Draft for Commenting” stipulates that the tax rate for vehicle purchase tax is still 10%.

The "Provisional Regulations of the People's Republic of China on Vehicle Purchase Taxes" promulgated by the State Council in October 2000 stipulates that the vehicle purchase tax shall be taxed on five categories: automobiles, motorcycles, trams, trailers, and agricultural vehicles. According to the state-redeployed vehicle technical standards, trolley buses in agricultural vehicles and trams have been integrated into automobile management. In order to be consistent with the current technical standards for motor vehicles, the “Draft for Comment” changed the object of taxation for vehicle purchase tax to four categories: automobiles, motorcycles, trailers, and trams.

Compared with the "Regulations," the "Draft for Comment" has removed the provisions of the State Administration of Taxation on the minimum taxable prices for taxable vehicles. The official main reason is: At present, the vehicle sales market is highly centralized, price is open and transparent, and invoice management is strict. Taxpayers are less likely to falsely declare taxable prices, and vehicle purchase tax collection management risks are controllable. In order to avoid the difference between the minimum taxable price stipulated by the tax authority and the actual purchase price of the taxpayer, the burden on the taxpayer will be increased and the contradiction between the taxpayers will be reduced, and the minimum taxable price will no longer be set.

At the same time, in order to prevent taxpayers from falsely reporting taxation prices and evading tax evasion, the “Draft for Soliciting Opinions” added that “the taxable vehicle’s taxable price declared by the taxpayer is inconsistent with reality, and the tax authorities shall collect tax "Management Law" and related regulations verify the amount of tax payable ".

In addition, the “Exposure Draft” continues the current provisions of the “Regulations” and specifies four tax exemptions:

1. In accordance with international practice and reciprocity principles, tax exemption shall be imposed on vehicles used by foreign embassies and consulates, consulates, international organization organizations in China and related personnel who are required to be exempted from taxation in accordance with the law;

2. In order to support national defense construction, tax-free vehicles are included in the equipment ordered by the military and the armed police forces;

3. Considering that non-transporting vehicles equipped with fixed devices are mainly used for special operations such as construction and construction, they do not have the main function of carrying people or carrying cargo. Therefore, non-transporting vehicles equipped with fixed devices are exempt from taxation;

4. Other situations where the State Council approves tax exemptions or tax reductions. Provisions such as eligible new-energy vehicles, public steam vehicles, and other temporary purchase tax policies for vehicle purchases may continue to be authorized by the State Council.

The “Draft for Soliciting Opinions” also added “the taxpayer will return the vehicle that has acquired the vehicle purchase tax to the vehicle production and sales enterprise, and may apply to the competent tax authority to refund the tax paid for vehicle purchase tax”, which is conducive to the management according to law. Tax refund.

For the “Draft for Soliciting Opinions,” Cui Dongshu, secretary-general of the National Passenger Vehicle Information Association, believes that it is also a reasonable choice to adopt the tax system shift method to increase the “Regulation on the Purchase of Vehicles” to the law. The implementation of the vehicle purchase tax has been relatively stable for more than a decade. The basic elements of the tax system are reasonable, and the efficiency of collection and management is relatively high. However, the use of links is severely separated from the development of new environments based on cities and passenger cars. It should be improved both in taxation and in the use of links, and it should give the local governments certain tax adjustment rights."

Attached to the "Law of the People's Republic of China on Vehicle Purchase Tax (Draft for Comment)"

PRC Vehicle Purchase Tax Law

(Exposure draft)

Article 1 The taxpayer who purchases taxable vehicles within the territory of the People's Republic of China as a taxpayer for vehicle purchase tax shall pay vehicle purchase tax in accordance with the provisions of this Law.

Article 2 The term “purchase” as used in this Law refers to the act of purchasing, importing, self-producing, receiving, awarding, or otherwise obtaining and owning a taxable vehicle.

Article 3 The taxable vehicles referred to in this Law refer to automobiles, motorcycles, trailers and trams.

Article 4 The calculation formula for the tax payable for vehicle purchase tax is:

Tax payable = taxable price × tax rate

Article 5 The tax rate for vehicle purchase tax is 10%.

Article 6 The taxation price of vehicle purchase tax shall be determined according to the following methods:

(1) The taxpayer purchases the taxable price of the taxable vehicle for own use, and pays the taxpayer the full price and out of the price paid to the seller by purchasing the taxable vehicle, excluding VAT.

(b) The formula for the calculation of the taxation price of taxable vehicles for taxpayers' own use is:

Tax Price = Custom Duty Price + Customs + Consumption Tax

(3) The taxable price of the self-produced taxable vehicle for the taxpayer shall be determined in accordance with the sales price of taxable vehicles of the same type produced by the taxpayer, excluding VAT.

(4) The taxable price of taxable vehicles that the taxpayer receives, awards, or otherwise obtains and uses for his own use is the price stated in the relevant vouchers for the purchase of taxable vehicles, excluding VAT taxes.

Article 7 Where the taxable vehicle tax price declared by the taxpayer is not in conformity with actual conditions, the tax authority shall verify the tax payable amount in accordance with the "Law of the People's Republic of China on Tax Collection and Management" and related regulations.

Article 8 If a taxpayer settles the price of a taxable vehicle in foreign exchange, it shall be converted into RMB to calculate and pay the tax at the midpoint of the RMB exchange rate prescribed by the State Council’s foreign exchange administration at the date of tax declaration.

Article 9 The vehicle purchase tax shall be subject to a one-time levy system. Vehicles that purchase purchased vehicle purchase tax will not be subject to vehicle purchase tax.

Article 10 The vehicle purchase tax shall be exempted or reduced for the following circumstances:

(1) Tax exemption for vehicles used by foreign embassies and consulates and international organizations in China and their personnel in accordance with the law for tax purposes;

(2) Tax-exempted vehicles of the People's Liberation Army and the Chinese People's Armed Police Force included in the equipment ordering plan;

(3) Non-transport vehicles with fixed installations are tax-exempt;

(4) Other situations where the State Council approves tax exemptions or tax reductions.

The fourth item of exemption or tax reduction provided for in the preceding paragraph shall be reported to the Standing Committee of the National People's Congress by the State Council for the record.

Article 11 Vehicle purchase tax shall be collected and managed by the tax authorities in accordance with the relevant provisions of this Law and the "Law of the People's Republic of China on Tax Collection and Management."

Article 12 A taxpayer purchasing a taxable vehicle shall report and pay tax to the competent taxation authority of the place where the vehicle is registered; purchase of a taxable vehicle that does not require registration of the vehicle shall be reported and paid to the competent taxation authority where the taxpayer is located.

Article 13 The time when the tax liability occurs is the date on which the taxpayer purchases the taxable vehicle, and the taxpayer shall declare tax within 60 days from the date of occurrence of the tax liability.

Article 14 A taxpayer shall pay vehicle purchase tax before registering with the traffic control department of the public security organ.

The traffic administrative department of the public security organ shall, when handling the registration of the vehicle, verify the tax payment or tax exemption electronic information provided by the tax authority; the electronic information without tax payment or tax exemption, and the electronic information of tax payment or exemption which is inconsistent with the taxpayer’s application for registration of the vehicle, the public security The traffic management department of the authority shall not handle registration of vehicles.

Article 15 Taxation, public security, commerce, customs, industry, and informatization departments shall establish taxable vehicle information sharing platforms and work coordination mechanisms, exchange taxable vehicles and taxation information in a timely manner, strengthen the collection and management of vehicle purchase taxes, and protect taxes. Full and timely storage.

The production and sales enterprises of vehicles shall, in accordance with the requirements of tax authorities, provide relevant information on the production and sales of taxable vehicles.

Article 16 If a tax-exempt or tax-reduced vehicle is no longer subject to tax exemption or tax reduction due to reasons such as the transfer or change of use, the taxpayer shall pay the vehicle purchase tax before registering the transfer of the vehicle or changing the registration with the traffic administrative department of the public security organ.

Article 17 Where a taxpayer returns a vehicle for which vehicle purchase tax has been collected to a vehicle production and sales enterprise, he shall apply to the competent tax authority for refund of the tax on vehicle purchase tax already paid.

Article 18 If the tax authority finds that the taxpayer fails to pay the vehicle purchase tax in accordance with regulations, he shall order him to make up the payment; if the taxpayer refuses to pay, the tax authority may notify the traffic administrative department of the public security organ to cancel the registration of the vehicle and collect the vehicle license.

Article 19 Taxpayers, vehicle production and sales enterprises and tax authorities, public security organs and traffic management departments and their staff members who violate the provisions of this Law shall be subject to the Law of the People's Republic of China on Tax Collection and Administration and the Law of the People's Republic of China on Road Traffic Safety. Relevant laws and regulations stipulate legal liability.

Article 20 This Law shall come into force on the day of the year. The Provisional Regulations on Vehicle Purchase Tax of the People's Republic of China promulgated by the State Council on October 22, 2000 was repealed at the same time.

annex

About "The People's Republic of China Vehicle Purchase Tax Law

(Exposure Draft)"

In order to implement the statutory principle of taxation and in accordance with the requirements of the "Implementation Opinions on Implementing the Principle of Statutory Taxation" approved by the Party Central Committee, the Ministry of Finance and the State Administration of Taxation jointly drafted the "People's Republic of China Vehicle Purchase Tax Law (Consultation Draft)" (hereinafter referred to as " Consultation Draft). The explanation is as follows:

I. The Necessity and Feasibility of Formulating the Law

In October 2000, the State Council promulgated the "Provisional Regulations on Vehicle Purchase Tax of the People's Republic of China" (hereinafter referred to as the "Regulations"), which stipulates that from January 1, 2001, vehicle purchase tax shall be levied on units and individuals purchasing taxable vehicles. The purchase tax is imposed on ad valorem and the tax rate is 10%. From 2001 to 2016, the country’s total vehicle purchase tax was 2293.3 billion yuan, an average annual increase of 17%, of which vehicle purchase tax was collected in 2016 of 267.4 billion yuan. The vehicle purchase tax system has played an important role in organizing fiscal revenue, promoting the construction of transportation infrastructure and guiding the development of the automobile industry. Since the promulgation and implementation of the "Regulations", the operation has been relatively stable and standardized, and the conditions for enacting laws based on them have matured.

Formulating a vehicle purchase tax law is an urgent requirement and an important embodiment of implementing the statutory principle of taxation. It is conducive to perfecting the legal system of vehicle purchase tax, enhancing its scientificity, stability and authority, and helping to build a modern financial system that meets the needs of the socialist market economy. The system is conducive to deepening reform and opening up and advancing the modernization of the national governance system and governance capacity.

Second, the overall consideration for the formulation of this law

(1) The "regulations" have been brought into law by adopting a tax shift. The implementation of vehicle purchase tax has been relatively stable for more than a decade. The basic elements of the tax system are basically reasonable and the efficiency of tax collection and management is relatively high. Judging from the actual implementation, there is no need to carry out major reforms, and the current tax system framework and tax burden levels can be kept basically unchanged, and the legislation for vehicle purchase tax transfer can be achieved.

(2) Make reasonable adjustments to a few taxation matters. According to the development of the situation and the actual tax collection and management, the adjustment of the tax vehicle classification and taxation price approval method, etc. are adjusted to make the tax system more scientific and reasonable.

(C) Further improve the collection and management mechanism. The vehicle purchase tax is levied by the tax authorities, but cannot be separated from the cooperation of the public security, customs, industry, and informatization departments. The “Draft for Soliciting Opinions” stipulates the establishment of a mechanism for the coordination of labor collection and management to improve the efficiency of tax collection and management.

Third, the "consultation draft" the main content

(a) About taxpayers. The “Draft for Soliciting Comments” continues the current rules and specifies that taxpayers for purchase tax on vehicles are units and individuals that purchase taxable vehicles in China. Among them, purchase refers to the act of purchasing, importing, self-producing, receiving, awarding, or otherwise obtaining and owning a taxable vehicle. (Article 1, Article 2)

(b) on the object of taxation. The "Regulations" stipulates that taxation targets for vehicle purchase tax are five categories: automobiles, motorcycles, trams, trailers, and agricultural vehicles. According to the state-redeployed vehicle technical standards, trolley buses in agricultural vehicles and trams have been integrated into automobile management. In order to be consistent with the current technical standards for motor vehicles, the “Draft for Comment” changed the object of taxation for vehicle purchase tax to four categories: automobiles, motorcycles, trailers, and trams. (Article 3)

In addition, the "Scope of Levy of Vehicle Purchase Taxes" attached to the "Regulations" has clearly defined the specific scope and standards of taxable vehicles. Considering that the state-issued motor vehicle technical standards already have relevant provisions, and adjustments will be made as the situation evolves, in order to avoid frequent changes to the law due to technical standards adjustments, the “Draft for Comment” no longer attaches to this table.

(c) Regarding taxation prices. According to the different circumstances of the purchase of taxable vehicles, the “Draft for Comments” stipulates four methods for determining the taxation rate for vehicle purchase tax: First, the taxpayer purchases the taxable price of the taxable vehicle for own use and pays the taxpayer for the purchase of the taxable vehicle. The total price and out-of-the-money expenses to the seller do not include the value-added tax; the second is the taxable price of taxable vehicles imported by the taxpayer, which is the sum of the duty-paid price of the taxable vehicle plus the tariff and consumption tax; Third, the taxable price of the self-produced taxable vehicle used by the taxpayer is determined according to the sales price of the taxable vehicle of the same type produced by the taxpayer, excluding the value-added tax. Fourth, the taxpayer is given, awarded or obtained in other ways. The taxable price of the taxable vehicle for own use shall be the price stated in the relevant certificate at the time of purchase of the taxable vehicle, excluding VAT. (Article 6)

Compared with the "Regulations," the "Draft for Comment" has removed the provisions of the State Administration of Taxation on the minimum taxable prices for taxable vehicles. The main reasons are: At present, the vehicle sales market is highly concentrated, the price is open and transparent, and the invoice management is strict. Taxpayers are less likely to falsely report taxable prices. The risk of vehicle purchase tax collection and control is controllable. In order to avoid the difference between the minimum taxable price stipulated by the tax authority and the actual purchase price of the taxpayer, the burden on the taxpayer will be increased and the contradiction between the taxpayers will be reduced, and the minimum taxable price will no longer be set. At the same time, in order to prevent taxpayers from falsely reporting taxation prices and evading tax evasion, the “Draft for Soliciting Opinions” added that “the taxable vehicle’s taxable price declared by the taxpayer is inconsistent with reality, and the tax authorities shall collect tax The "Management Law" and related regulations verify the amount of tax payable". (Article 7)

(d) About the tax rate. The "Draft for Comment" stipulates that the tax rate for vehicle purchase tax is 10%, that is, it maintains the current provisions of the "Regulations" and ensures the smooth implementation of the tax law. (The fifth)

(e) Regarding the amount of tax payable. The "Draft for Comment" stipulates that the amount of tax payable = the taxable price x tax rate. (Article 4)

(6) Tax relief. The “Consultation Draft” continues the current provisions of the “Regulations” and specifies four tax exemptions: First, based on international practice and reciprocity, foreign embassies, consulates, and international organizations should be exempted from taxation in accordance with the law. China’s self-employed vehicles are exempted from taxation by Chinese agencies and related personnel; secondly, they are tax-exempted for supporting the national defense construction, and the vehicles included in the equipment ordering plan for the armed forces and the armed police force; and thirdly, the non-transporting vehicles with fixed devices are mainly used for building construction, etc. Special operations do not have the main function of carrying people or carrying cargo. Therefore, non-transport vehicles with fixed installations are exempted from taxation. Fourth, the State Council approves tax exemptions or tax reductions. Provisions such as eligible new-energy vehicles, public steam vehicles, and other temporary purchase tax policies for vehicle purchases may continue to be authorized by the State Council. (Article 10)

(7) Regarding tax collection and management. The "Draft for Soliciting Comments" clearly states that "the traffic management department of the public security organ shall, when registering for a vehicle, verify the tax payment or tax exemption electronic information provided by the taxation authority; there is no electronic information on tax payment or exemption, and electronic information on tax payment and exemption and taxpayers. If the application for registration information of the vehicle is inconsistent, the traffic management department of the public security organ shall not handle the registration of the vehicle." The "regulation" "The taxpayer shall hold the tax payment certificate or tax exemption certificate issued by the competent tax authority and apply to the vehicle management agency of the public security organ for registration of the vehicle. Where there is no tax payment certificate or tax exemption certificate, the vehicle management agency of the public security organ shall not handle the registration formalities for vehicles. The main reason is that the tax authorities and the traffic management department of the public security organ have realized the real-time exchange of electronic information on taxation of vehicle purchase tax, and the effective management of tax collection can be achieved through information technology means, and the management method of verifying the paper tax payment certification is no longer necessary. (Article 14)

The “Draft for Soliciting Opinions” added “Taxation, Public Security, Commerce, Customs, Industry and Informatization and other departments to establish taxable vehicle information sharing platforms and work coordination mechanisms, timely exchange of taxable vehicles and tax information information, and strengthening vehicle purchase tax collection. The provisions for the management and protection of tax payments in full and on time shall be stipulated. Vehicle production and sales companies shall, in accordance with the requirements of the tax authorities, provide relevant information on the production and sales of taxable vehicles," which will help strengthen the coordination of tax administration and relevant departments and units in their collection and management, and improve cooperation. Collection efficiency. (Article 15)

(8) On the tax refund provisions. The "Draft for Soliciting Opinions" added a new provision that "taxpayers returning vehicles that have acquired vehicle purchase tax to vehicle production and sales enterprises, and may apply to the competent tax authorities for refund of taxes paid on vehicle purchase tax", and is conducive to the management of tax refunds according to law. behavior. (Article 17)

(9) About legal liability. The "Draft for Soliciting Comments" clearly states that taxpayers, vehicle production and sales enterprises and tax authorities, public security organs and traffic management departments and their staff violate the provisions of this Law, and are in accordance with the "Law of the People's Republic of China on Tax Collection and Administration" and "Road Traffic Safety of the People's Republic of China." "Law" and related laws and regulations stipulate legal liability. (Article 19)