|
The State Administration of Taxation
Circular of the State Administration of Taxation on the Issue Concerning the Levy of Stamp Tax on Enterprise with Foreign Investment
and Foreign Enterprises
GuoShuiFa [1994] No.95
April 7,1994
The tax bureaus of various provinces, autonomous regions and municipalities directly under the Central Government, the tax bureaus
of various municipalities separately listed on the State plan and the various sub-bureaus of the Offshore Oil Tax Administration:
In line with the stipulation of the Circular of the State Council On Issues Related to the Interim Regulations Concerning the Levy
of Applicable Value-Added Tax, Consumption Tax and Business Tax on Enterprise with Foreign Investment and Foreign Enterprises, enterprise
with foreign investment, foreign enterprises and other economic organizations and their offices in China (hereinafter referred to
as “enterprises”) shall, beginning from January 1, 1994, pay stamp tax in accordance with the Interim Regulations of the People’s
Republic of China on Stamp Tax and rules for its implementation. Related issues are hereby clarified as follows:
I.
Enterprises which had contracted to be established before December 31, 1993 and have received various dutiable certificates, including
contracts, property rights transfer certificates, business account books and licenses of rights are exempt from stamp tax.
II.
Enterprises which had signed dutiable contracts before December 31, 1993, revised the contracts after January 1, 1994 to increase
the amount of investment or signed a new contract after the expiration of the original contract shall pay stamp tax according to
regulations.
III.
For capital actually received and capital accumulations increased after January 1, 1994 as recorded in the account book, stamp tax
shall be levied on the increased portion; the capital actually received and capital accumulations which have not increased as recorded
in the new account book are exempt from stamp tax; for other account books started using after January 1, 1994, stamp tax shall be
levied according to regulations.
IV.
For property right transfer certificates and right license obtained by the enterprise before December 31, 1993 which were revised,
replaced or transferred, stamp tax shall be levied according to regulations.
V.
If the amount of lump sum stamp tax to be recorded in the account book of the enterprise is too big, with approval from competent
tax authorities, deficient stamp tax payments are allowed to be made up by instalments within three years. Enterprises with an operational
period less than three years shall make up the deficient stamp tax payment within the operational period.
VI.
The current regulations on stamp tax shall be acted upon in regard to other tax-exemption matters.
|
