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DAEWON LOGIPIA CO., LTD. The Best Partner of Your Happy

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Subjact Notification of Value Added Tax (VAT) in China
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According to Cai Shui (2013) No. 37 notice on “Tax Policy Concerning Nationwide Implementation of VAT Pilot Program for Transport and Modern Services Sectors”, jointly issued by the Ministry of Finance (MOF) and the State Administration of Taxation (SAT) of PRC on 24 May 2013, the tax policy concerning China's Value Added Tax (VAT) Pilot Program will be expanded nationwide effective 1 August 2013. By then, the applicable VAT ratio for the service provided by us will be 6%. The notice also states that the relevant tax policies for initial pilots will be repealed simultaneously. Please refer to Cai Shui 2013) (Circular 37) for more details.
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With the implementation of the notice, we would like to announce that, from 1 August 2013 (invoice issuance date), an additional 6% of Value-Added Tax will be levied on top of all charges payable in China. In the meantime, the related taxes arising from VAT (approximately 0.83%) will also be levied.

 

There are still uncertain aspects of the VAT policy as to the scopes to apply and by laws; you will be timely informed if there is any further development.

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