Industries to which the 6 percent tax rate applies:

1. Financial services, which refers to the business activities of operating financial insurance. Including lending services, direct fee financial services, insurance services and transfer of financial commodities;

2, research and development and technical services, including research and development services, contract energy management services, engineering survey and exploration services, professional and technical services;

3, information technology services, refers to the use of computers, communication networks and other technologies for the production of information, collection, processing, processing, storage, transportation , retrieval and utilization, and provide information services business activities. Including software services, circuit design and testing services, information system services, business process management services and value-added information system services;

4, cultural and creative services, including design services, intellectual property rights services, advertising services and conference and exhibition services;

5, logistics support services, including aviation services, port and terminal services, freight and passenger terminal services, salvage and rescue services, Loading and unloading handling services, warehousing services and collection and dispatch services.

The current value-added tax (VAT) implements a proportional rate for products, which is divided into 12 bands of 8%, 12%, 14%, 16%, 18%, 20%, 21%, 23%, 26%, 30%, 43% and 45%. The tax rates of most products are converted and determined on the basis of the original industrial and commercial tax and product tax burden, and the tax rates of some products, on the basis of the original tax burden, have been appropriately adjusted.

All units and individuals engaged in VAT taxable behavior as well as withholding agents who are not engaged in VAT taxable behavior but have the obligation to withhold VAT are VAT taxpayers.

Before 1994, foreign-funded enterprises paid the Unified Industrial and Commercial Tax and were not taxpayers of VAT, but after the State Administration of Taxation issued the Circular of Guo Shui Fa [1993] No. 138 on Issues Concerning the Implementation of VAT on Foreign-Related Taxes on November 6, 1993, foreign-funded enterprises became taxpayers of VAT as of January 1, 1994 as well.

(1) The tax rate for the sale or import of goods by taxpayers is 13%, except for the provisions of the second and third items below.

(2) Taxpayers selling or importing the following goods shall be subject to a tax rate of 10%: grain, edible vegetable oil, tap water, heating, cooling, hot water, coal gas, liquefied petroleum gas, natural gas, biogas, coal products for residential use, books, newspapers, magazines, feed, chemical fertilizers, pesticides, farm machinery, agricultural films, agricultural products, as well as other goods as prescribed by the State Council.

(3) Taxpayers exporting goods shall be subject to a tax rate of zero; however, the State Council shall provide otherwise.

(4) The tax rate for taxpayers to provide processing, repair and fitting services is 13%. Taxpayers concurrently operating different tax rates of goods or taxable services.

Baidu Encyclopedia-Value Added Tax Rate