Food and beverage expenses for entertaining guests are charged at 60% of the actual amount incurred before tax, but the maximum cannot exceed 0.5% of the sales revenue;

There is no limitation on lodging and telephone expenses.

The catering industry is a taxpayer of business tax, which is declared and paid at a rate of 5 percent.

The National Tax Bureau divides VAT taxpayers into small-scale taxpayers and general taxpayers according to the different methods of VAT calculation. They are windy things.

Therefore catering enterprises cannot apply for general taxpayers. General taxpayers and small-scale taxpayers are said for VAT taxpayers, and VAT is paid at the state tax. The turnover tax to be collected by the catering industry is the business tax, and at the same time, it has to pay the urban construction tax, education surcharge, personal income tax and so on, which are all paid in the local tax.