Having deliberated on the proposal submitted by the State Council for the
Amendment to the Law of the People’s Republic of China on the Administration
of Tax Collection (Draft) and with a view to suiting the need of the taxation
system reform and keeping abreast of the change in the system of tax
collection, the 12th Meeting of the Standing Committee of the Eighth National
People’s Congress decided to amend the Law of the People’s Republic of China
on the Administration of Tax Collection as follows:

    The first paragraph of Article 14 shall be amended to read as follows:
“The special invoices for Value-Added Tax shall be printed by enterprises
designated by the competent tax department under the State Council; other
invoices shall be printed by enterprises designated respectively by state tax
bureaux or local tax bureaux of the provinces, autonomous regions or
municipalities directly under the Central Government according to the
stipulations by the competent tax department under the State Council.

    No enterprises shall print invoices without designation by the tax
authorities as provided in the preceding paragraph.”

    The second paragraph of Article 14 shall be changed into the third
paragraph.

    Chapter I      General Provisions

    Chapter II     Tax Administration

        Section 1  Tax Registration

        Section 2  Administration of Accounting Books and Vouchers

        Section 3  Tax Declaration

    Chapter III    Tax Collection

    Chapter IV     Tax Inspection

    Chapter V      Legal Responsibilities

    Article 1  This Law is formulated with a view to strengthening the
administration of tax collection, ensuring the tax revenue of the State and
protecting the legitimate rights and interests of taxpayers.

    Article 2  The administration of tax collection in respect of all taxes to
be collected by the tax authorities in accordance with law shall be governed
by this Law.

    Article 3  The imposition of tax or the cessation thereof, tax reduction,
tax exemption and refund of tax as well as payment of tax unpaid shall be
governed by the provisions of relevant laws; where the State Council is
authorized by law to formulate relevant regulations, the provisions of
relevant administrative rules and regulations formulated by the State Council
shall apply.

    No units including governmental organs or individuals may, in violation of
law or administrative rules and regulations, make decisions regarding the
imposition of tax or the cessation thereof, tax reduction, tax exemption or
refund of tax, or payment of tax unpaid.

    Article 4  Units and individuals that are obligated to pay tax as
prescribed by law or administrative rules and regulations are taxpayers.

    Units and individuals that are obligated to withhold and remit tax or
collect and remit tax as prescribed by law or administrative rules and
regulations are withholding agents.

    Taxpayers and withholding agents must pay tax or withhold and remit tax or
collect and remit tax in accordance with the provisions of relevant laws or
administrative rules and regulations.

    Article 5  The competent department of taxation under the State Council
shall be in charge of the administration of tax collection throughout the
country.

    The local people’s governments at various levels shall strengthen their
leadership in the administration of tax collection within their respective
administrative regions and support the tax authorities in carrying out their
duties according to law and accomplishing their tasks of tax collection.

    Departments and units concerned shall support and assist the tax
authorities in carrying out their duties according to law.

    No units or individuals shall obstruct the tax authorities from carrying
out their duties according to law.

    Article 6  Tax officials must implement the law impartially and devote
themselves to their duties. They shall not extort or take bribes, practise
favouritism and commit malpractice, neglect their duties, or fail to collect,
or undercollect the amount of tax payable; nor shall they abuse their powers
to overcollect tax or deliberately create difficulties for taxpayers or
withholding agents.

    Article 7  Every unit or individual shall have the right to report any
acts contravening the law or the administrative rules or regulations relating
to taxation. The tax authorities shall maintain confidentiality in respect of
the informants and grant them rewards in accordance with relevant regulations.

    Section 1  Tax Registration

    Article 9  Enterprises, branches and sites engaged in production or
business operations established in other places by enterprises, individual
businesses as well as institutions engaged in production or business
operations (hereinafter collectively referred to as taxpayers engaged in
production or business operations) shall, within 30 days from receipt of the
business licence, apply to the tax authorities for tax registration on
presentation of the relevant documents. Upon examination and verification of
such documents, the tax authorities shall issue the tax registration
certificate.

    The scope and methods for tax registration for taxpayers other than those
specified in the preceding paragraph shall be laid down by the State Council.  

    Article 10  Any taxpayer engaged in production or business operations
shall, where any change occurs in the contents of tax registration, within 30
days from the date of completing the formalities for such change in the
business registration with the administrative department of industry and
commerce or prior to the submission of an application for cancellation of the
business registration to the administrative department of industry and
commerce, apply to the tax authorities for the change or cancellation of tax
registration on presentation of the relevant documents.

    Article 11  Use of tax registration certificates by taxpayers shall be
governed by the relevant regulations formulated by the competent department of
taxation under the State Council. The tax registration certificates shall not
be lent, altered, damaged, traded or forged.

    Section 2  Administration of Accounting Books and Vouchers

    Article 12  Taxpayers engaged in production or business operations or
withholding agents shall, in pursuance of the relevant regulations of the
competent departments of finance and taxation under the State Council,
establish accounting books, keep accounts based on legitimate and valid
vouchers and conduct accounting. Individual businesses that are truly unable
to keep accounting books may keep no accounting books upon examination and
approval by the tax authorities.

    Article 13  The financial and accounting systems or financial and
accounting procedures of a taxpayer engaged in production or business
operations shall be submitted to the tax authorities for the record.

    Where the financial and accounting systems or financial and accounting
procedures of a taxpayer engaged in production or business operations
contravene the relevant tax rules of the State Council or the competent
departments of finance and taxation under the State Council, the calculation
and payment of tax shall be made in accordance with the relevant tax rules of
the State Council or the competent departments of finance and taxation under
the State Council.

    Article 14  The special invoices for Value-Added Tax shall be printed by
enterprises designated by the competent tax department under the State
Council; other invoices shall be printed by enterprises designated
respectively by state tax bureaux or local tax bureaux of the provinces,
autonomous regions or municipalities directly under the Central Government
according to the stipulations by the competent tax department under the State
Council.

    No enterprises shall print invoices without designation by the tax
authorities as provided in the preceding paragraph.”

    Measures for the administration of invoices shall be worked out by the
State Council.

    Article 15  Taxpayers engaged in production or business operations and
withholding agents must take care of accounting books, vouchers for the
accounts, tax payment receipts and other relevant information in conformity
with the period for such care prescribed by the competent departments of
finance and taxation under the State Council.

    Accounting books, vouchers for the accounts, tax payment receipts and
other relevant information shall not be forged, altered or destroyed without
due approval.

    Section 3  Tax Declaration

    Article 16  Taxpayers must, within the time limit for tax declaration as
prescribed by law or administrative rules and regulations, or as determined by
the tax authorities in accordance with law or administrative rules and
regulations, complete formalities for tax declaration, submit tax returns,
financial and accounting statements as well as other relevant information on
tax payments required of taxpayers by the tax authorities in light of the
actual needs.

    Withholding agents must, within the time limit for tax declaration as
prescribed by law or administrative rules and regulations, or as determined by
the tax authorities in accordance with law or administrative rules and
regulations, submit statements on taxes withheld and remitted or collected and
remitted as well as other relevant information required of withholding agents
by the tax authorities in light of the actual needs.

    Article 18  The tax authorities shall collect tax in accordance with law
or administrative rules and regulations. They shall not impose, cease to
collect, overcollect or undercollect tax in violation of law or administrative
rules and regulations.

    Article 19  Withholding agents shall perform their obligations of
withholding or collecting tax in accordance with law or administrative rules
and regulations. With respect to units or individuals that are not obligated
to withhold or collect tax as prescribed by law or administrative rules and
regulations, the tax authorities shall not request them to perform any
obligations of withholding or collecting tax.

    When a withholding agent performs its obligations of withholding or
collecting tax in accordance with law, the taxpayer shall have no right to
refuse. Should a taxpayer refuse, the withholding agent shall promptly report
the case to the tax authorities for disposition.

    The tax authorities shall in accordance with the relevant regulations pay
to withholding agents handling fees for withholding or collecting tax.

    Article 20  A taxpayer or withholding agent shall pay or remit tax in
compliance with the time limit as prescribed by law or administrative rules
and regulations, or as determined by the tax authorities in accordance with
law or administrative rules and regulations. Where a taxpayer is unable to pay
tax within the prescribed period on account of special difficulties, it may,
upon approval by a tax bureau (or sub-bureau) at or above the county level,
defer the payment of tax for a maximum period of three months.

    Where a taxpayer fails to pay tax within the time limit as prescribed in
the preceding paragraph or a withholding agent fails to remit tax within the
time limit as prescribed in the preceding paragraph, the tax authorities
shall, in addition to ordering the taxpayer or withholding agent to pay or
remit the tax within a fixed period of time, impose a surcharge on a daily
basis at the rate of 0.2% of the amount of tax in arrears, commencing on the
day the tax payment is in default.

    Article 21  A taxpayer may submit to the tax authorities a written
application for tax reduction or tax exemption in accordance with law or
administrative rules and regulations.

    Applications for tax reduction or tax exemption shall be subject to the
examination and approval by the examination and approval authorities for tax
reduction or tax exemption prescribed by law or administrative rules and
regulations. Any decisions on tax reduction or tax exemption made in violation
of law or administrative rules and regulations by the local people’s
governments at various levels, the competent departments under the people’s
governments at various levels, or by units or individuals shall be null and
void.

    Article 22  When the tax authorities collect tax and withholding agents
withhold or collect tax, they must issue tax payment receipts to the
taxpayers.

    Article 23  If a taxpayer is under one of the following circumstances, the
tax authorities shall have the power to assess the amount of tax payable by
the taxpayer:

    (1) Establishment of accounting books is not necessary under this Law;

    (2) Accounting books are required to be established by this Law, but they
are not established;

    (3) Accounting books are established, but the accounts are not in order or
the information on costs, receipt vouchers and expense vouchers are incomplete
and difficult to check;

    (4) Where an obligation to pay tax arises, the taxpayer fails to complete
the formalities for tax declaration within the prescribed time limit, and,
after having been ordered by the tax authorities to make tax declaration
within a fixed period of time, still fails to do so upon expiration of the
period.

    Article 24  The payment or receipt of prices or charges in business
transactions between an enterprise or an establishment or a site set up in
China by a foreign enterprise engaged in production or business operations,
and its associated enterprises, shall be made in the same manner as the
payment or receipt of prices or charges in business transactions between
independent enterprises. Where the payment or receipt of prices or charges is
not made in the same manner as in business transactions between independent
enterprises and results in a reduction of the taxable revenue or income, the
tax authorities shall have the right to make reasonable adjustments.

    Article 25  With respect to a unit or an individual engaged in business
operations without a business licence, the case shall be dealt with by the
administrative department of industry and commerce in accordance with law. In
addition, the tax authorities shall assess the amount of tax payable by such
unit or individual and order it or him to make the tax payment. Should such
unit or individual fail to make the tax payment, the tax authorities may
distrain the commodities or goods of a value corresponding to the amount of
tax payable. If the amount of tax payable is paid after the distraint, the tax
authorities must immediately remove the distraint and return the commodities
or goods distrained. If the amount of tax payable is still not paid after the
distraint, the commodities or goods which have been distrained shall, upon
approval of the commissioner of a tax bureau (or sub-bureau) at or above the
county level, be sold by auction and the proceeds therefrom shall be used to
offset the amount of tax payable.

    Article 26  Where the tax authorities have grounds to believe that a
taxpayer engaged in production or business operations has committed any act of
tax evasion, the tax authorities may order the taxpayer to pay the tax payable
within a time limit prior to the prescribed date of tax payment. If within
such time limit the tax authorities discover that there are obvious signs that
the taxpayer has transferred or concealed its taxable commodities, goods or
other property, or taxable income, the tax authorities may order the taxpayer
to provide a guaranty for tax payment. If the taxpayer is unable to provide a
guaranty for tax payment, the tax authorities may, upon approval of the
commissioner of a tax bureau (or sub-bureau) at or above the county level,
adopt the following tax preservative measures:

    (1) To notify in writing the bank or any other financial institution with
which the taxpayer has opened an account to stop payment on a temporary basis
from the taxpayer’s deposits of an amount corresponding to the amount of tax
payable;

    (2) To distrain or seal up the taxpayer’s commodities, goods or other
property of a value corresponding to the amount of tax payable.

    In the event that the taxpayer makes the tax payment within the time limit
prescribed in the preceding paragraph, the tax authorities must immediately
lift the tax preservative measures. Should the taxpayer fail to make the tax
payment on expiration of the time limit, the tax authorities may, upon
approval of the commissioner of a tax bureau (or sub-bureau) at or above the
county level, notify in writing the bank or any other financial institution
with which the taxpayer has opened an account to withhold and remit the amount
of tax payable from the taxpayer’s deposits from which payment has been
stopped on a temporary basis, or sell by auction the commodities, goods or
property which has been distrained or realed up and use the proceeds therefrom
to offset the amount of tax payable.

    Where the legitimate interests of a taxpayer are jeopardised due to the
inappropriate adoption of tax preservative measures or the failure of the tax
authorities to immediately lift such measures after the taxpayer has made the
tax payment within the prescribed time limit, the tax authorities shall be
liable for compensation.

    Article 27  Where a taxpayer engaged in production or business operations
or a withholding agent fails to pay or remit tax within the prescribed time
limit, or a tax payment guarantor fails to pay the guaranteed amount of tax
within the prescribed time limit, the tax authorities shall order the same to
pay the tax within a fixed period of time. In case of failure to pay the tax
within such period, the tax authorities may, upon approval of the commissioner
of a tax bureau (or sub-bureau) at or above the county level, adopt the
following compulsory enforcement measures:

    (1) To notify in writing the bank or any other financial institution with
which the taxpayer, withholding agent or tax payment guarantor has opened an
account to withhold and remit the amount of tax from its deposits;

    (2) To distrain, seal up or sell by auction the commodities, goods, or
other property of the taxpayer, withholding agent or tax payment guarantor, of
a value corresponding to the amount of tax payable, and to use the proceeds
therefrom to offset the amount of tax payable.

    The tax authorities shall, while adopting the compulsory enforcement
measures, carry out compulsory enforcement with regard to the surcharge on tax
in arrears which has not been paid by the above-mentioned taxpayer,
withholding agent or tax payment guarantor.

    Article 28  Should a taxpayer who has not paid or has underpaid the amount
of tax payable need to leave China, it shall settle the amount of tax payable
with, or provide a guaranty to, the tax authorities, before leaving the
country. If the taxpayer neither settles the amount of tax payable nor
provides a guaranty, the tax authorities may notify the exit administration
authorities to prevent the taxpayer from leaving the country.

    Article 29  The tax authorities must issue a receipt when distraining
commodities, goods or other property, and issue a detailed list when sealing
up commodities, goods or other property.

    Article 30  After discovering that a taxpayer has paid an amount of tax in
excess of the tax payable, the tax authorities must immediately refund the
excess amount; where a taxpayer discovers its excess payment within three
years from the date of the tax payment, it may claim a refund of the excess
amount of tax from the tax authorities, which shall immediately refund it
after examination and verification of the case.

    Article 31  In case that a taxpayer or withholding agent fails to pay tax,
or underpays tax, due to the responsibility of the tax authorities, the tax
authorities may within three years require the taxpayer or withholding agent
to pay the tax in arrears, without, however, the imposition of any surcharge
thereon.

    Article 32  The tax authorities shall have the power to conduct the
following tax inspections:

    (1) To inspect a taxpayer’s accounting books, vouchers for the accounts,
statements and relevant information; to inspect a withholding agent’s
accounting books, vouchers for the accounts and relevant information in
respect of the amount of tax withheld and remitted or collected and remitted;

    (2) To inspect a taxpayer’s taxable commodities, goods or other property
at the taxpayer’s sites where production or business operations are conducted
and places where goods are stored; to inspect a withholding agent’s
operational conditions relating to the withholding and remittance of tax or
the collection and remittance of tax;

    (3) To order a taxpayer or withholding agent to furnish documents,
evidentiary materials and information pertaining to the payment of tax or the
amount of tax withheld and remitted or collected and remitted;

    (4) To make inquiries of a taxpayer or withholding agent regarding issues
and particulars relevant to the payment of tax or the amount of tax withheld
and remitted or collected and remitted;

    (5) To inspect, at railway stations, docks, airports, postal enterprises
and their branches, supporting documents, vouchers and information pertaining
to the taxable commodities, goods or other property which a taxpayer has
delivered for carriage or sent by post;

    (6) Upon approval of the commissioner of a tax bureau (or sub-bureau) at
or above the county level, to examine and verify the deposit accounts that a
taxpayer engaged in production or business operations or a withholding agent
has opened with a bank or any other financial institution, on the strength of
a permit, which is of a nationally unified form, for the inspection of deposit
accounts. The examination and verification of the savings deposits of a
taxpayer engaged in production or business operations shall be subject to the
review by a county sub-branch or a municipal (at the county level) sub-branch
of a bank or a district office of a municipal branch of a bank, which shall
designate a subordinate savings office to provide the relevant information.

    Article 33  A taxpayer or withholding agent must subject itself to tax
inspections conducted by the tax authorities in accordance with law, report
the particulars truthfully and provide relevant information, and shall not
refuse to be inspected or conceal any facts.

    Article 34  When the tax authorities conduct tax inspections in accordance
with law, the departments and units concerned shall give support and
assistance, truthfully report the particulars of taxpayers, withholding agents
and other parties concerned in respect of the payment of tax and the amount of
tax withheld and remitted or collected and remitted, and furnish the relevant
information and evidentiary materials to the tax authorities.

    Article 35  The tax authorities may, when investigating a case concerning
violation of any tax laws or regulations, make notes, tape-recordings,
video-recordings, photographings and duplications of the relevant particulars
and information pertaining to the case.

    Article 37  Where a taxpayer has committed any of the following acts, the
tax authorities shall order it to rectify within a fixed period of time. Those
failing to rectify upon expiration of the period may be punished by the tax
authorities with a fine of not more than 2,000 yuan, if the circumstances are
serious, with a fine of not less than 2,000 yuan but not more than 10,000
yuan.

    (1) Failure to apply for tax registration, change or cancellation of tax
registration within the prescribed time limit;

    (2) Failure to establish and take care of the accounting books, or to take
care of the vouchers for the accounts and the relevant information in
accordance with relevant regulations;

    (3) Failure to furnish reports on the financial and accounting systems or
the financial and accounting procedures to the tax

    Chapter I  General Principles

    Chapter II  Supervision and Control over Prevention of Environmental

                Pollution Caused by Solid Waste

    Chapter III  Prevention of Environmental Pollution Caused by Solid Waste

      Section 1  General Stipulations

      Section 2  Prevention of Environmental Pollution Caused by Industrial

                 Solid Waste

      Section 3  Prevention of Environmental Pollution Caused by Urban

                 Residential Refuse

    Chapter IV  Special Stipulations on the Prevention of Environmental

                Pollution Caused by Dangerous Waste

    Chapter V  Legal Responsibilities

    Article 1  To prevent the pollution of the environment by solid waste,
ensure the good health of the public, and promote the development of socialist
modernization, the following law is hereby established.

    Article 2  This law applies to the prevention of environmental pollution
caused by solid waste within the boundaries of the People’s Republic of China.

    It does not apply to the prevention of marine environmental pollution
caused by solid waste or of environmental pollution caused by radioactive
solid waste.

    Article 3  To prevent pollution of the environment by solid waste, the
state shall carry out a principle of reducing the production of solid waste,
making full and rational use of solid waste, and safely disposing of solid
waste.

    Article 4  The state shall encourage and support clean production to
reduce the creation of solid waste.

    The state shall encourage and support the comprehensive utilization of
resources, the full recovery and rational usage of solid waste, and the
adoption of economic and technological policies and measures conducive to
making comprehensive use of solid waste.

    Article 5  The state shall encourage and support measures for the
centralized disposal of solid waste that are conducive to environmental
protection.

    Article 6  The people’s governments at the county level or above shall
coordinate the prevention of environmental pollution caused by solid waste
with environmental protection plans and shall adopt economic and technological
policies and measures conducive to the prevention of environmental pollution
caused by solid waste.

    Article 7  The state shall encourage and support scientific research and
technological development for the prevention of environmental pollution caused
by solid waste, the promotion of advanced technologies for prevention, as well
as the popularization of scientific knowledge for the prevention of
environmental pollution caused by solid waste.

    Article 8  The people’s governments at different levels shall give awards
to those units or individuals that make remarkable contributions to the
prevention of environmental pollution caused by solid waste as well as in the
related activities of making comprehensive use of solid waste.

    Article 9  Every unit or individual has an obligation to protect the
environment and has the right to report or bring charges against those units
or individuals that are responsible for environmental pollution caused by
solid waste.

    Article 10  The administrative department under the State Council in
charge of environmental protection shall exercise unified supervision and
administration throughout the whole country over the prevention of
environmental pollution caused by solid waste. The relevant departments under
the State Council shall be in charge of the supervision and administration of
the prevention of environmental pollution caused by solid waste within the
limits of their own responsibilities.

    The administrative departments under the local people’s governments at the
county level or above shall exercise unified supervision and administration
over the prevention of environmental pollution caused by solid waste within
the boundaries of the corresponding administrative division. The departments
concerned under the people’s governments at the county level or above shall be
in charge of the supervision and administration of the prevention of
environmental pollution caused by solid waste within the limits of their own
responsibilities.

    Article 11  The administrative department under the State Council in
charge of environmental protection shall establish a monitoring system for
environmental pollution caused by solid waste, formulate unified monitoring
standards, and organize a monitoring network in conjunction with other
relevant departments.

    Article 12  In constructing those projects that may produce industrial
solid waste as well as those for storage and disposal of solid waste, the
state administrative regulations for environmental protection in construction
projects must be abided by.

    Reports on the effects of a construction project on the environment shall
include an estimation of the pollution and other effects on the environment
caused by the solid waste that is produced by the construction project, as
well as the stipulation of measures for the prevention of environmental
pollution, and shall be submitted to the administrative department in charge
of environmental protection for approval in accordance with the procedures
that are stipulated by the state. After the report on the environmental
effects is ratified, the department in charge of examining and approving
construction projects shall approve a feasibility study report or a design
responsibility report for the project.

    Article 13  A report on the effects of a construction project on the
environment shall stipulate that the necessary facilities for the prevention
of environmental pollution caused by solid waste must be designed,
constructed, and put into operation in coordination with the principal part of
the project. A construction project shall begin operation or use only after
the facilities for the prevention of environmental pollution caused by solid
waste are inspected and approved by the same department that examined and
approved the report on the environmental effects. The facilities for the
prevention of environmental pollution caused by solid waste shall be inspected
and approved together with the principal part of the project.

    Article 14  The administrative departments under the people’s governments
at the county level or above in charge of environmental protection and other
supervisory and administrative departments in charge of the prevention of
environmental pollution caused by solid waste shall have the right to conduct
on-the-spot inspections of the units concerned with the prevention of
environmental pollution caused by solid waste within their jurisdiction in
accordance with their own responsibilities. The inspected units shall report
the situation accurately and shall provide any necessary materials. The
inspecting institutions shall maintain the technological and operational
secrecy of the inspected units.

    Section 1  General Stipulations

    Article 15  The units and individuals that produce solid waste shall take
measures to prevent or reduce the environmental pollution caused by solid
waste.

    Article 16  The units and individuals that collect, store, transport,
utilize, or dispose of solid waste shall take precautions against the spread,
loss, and leakage of the solid waste as well as other measures for preventing
the solid waste from polluting the environment.

    The abandonment or spread of solid waste during transportation is
forbidden.

    Article 17  Products shall use packing materials which are easily
recycled, disposed of, or assimilated by the environment.

    The product manufacturer, retailer, or consumer shall recycle those
product packages and containers that can be recycled in accordance with the
relative regulations of the state.

    Article 18  The state shall encourage scientific research institutions and
production units to study and produce thin films for agricultural use that are
easily recycled, disposed of, or assimilated by the environment.

    Those units and individuals that utilize thin films for agricultural use
shall take measures such as recycling to prevent or reduce environmental
pollution caused by the thin films.

    Article 19  The administration and maintenance of the facilities,
equipment, and sites for the collection, storage, transportation and disposal
of solid waste shall be strengthened in order to guarantee their normal
operation and use.

    Article 20  It is forbidden to close, disuse, or dismantle without
authorization the facilities and sites for preventing environmental pollution
caused by industrial solid waste. Those facilities and sites that require
closure, disuse, or dismantling must be examined and approved by the
administrative departments in charge of environmental protection under the
local people’s governments at the county level or above, and measures shall be
taken to prevent environmental pollution.

    Article 21  Those enterprises and institutions that produce solid waste
which causes serious environmental pollution shall be ordered to bring their
pollution under control within a specified period of time. Those subject to
such an order shall accomplish the task on schedule. The order shall be made
by the people’s government at the county level or above according to the
authority granted them by the State Council.

    Article 22  It shall be forbidden to construct facilities or sites for the
centralized storage and disposal of industrial solid waste or burial sites for
residential refuse in nature preserves, scenic spots, historic sites, drinking
water sources, and other places of special protection designated by the State
Council and the people’s governments at the provincial, municipal, or
autonomous regional levels.

    Article 23  In the event that solid waste is transferred to other
provinces, municipalities, or autonomous regions for storage or disposal, a
report must be submitted to the administrative department in charge of
environmental protection under the people’s government of the province from
which the solid waste will be transferred, and approval must be granted by the
administrative department in charge of environmental protection under the
people’s government of the province to which the solid waste will be
transferred.

    Article 24  Within the territory of the People’s Republic of China, it is
forbidden to dump, pile, or dispose of solid waste from outside the People’s
Republic of China.

    Article 25  The state shall forbid the import of solid waste which cannot
be used as a raw material and shall restrict the import of solid waste that
can be used as raw material.

    The administrative department in charge of environmental protection,
together with the department in charge of foreign trade and economic
cooperation under the State Council shall stipulate, adjust, and announce the
list of solid wastes which can be imported for use as raw materials; the
import of those kinds of solid waste that are not listed shall be forbidden.

    Those that require the import of solid wastes listed in the list
stipulated in the preceding paragraph for use as raw materials must acquire
approval through examination by the administrative department in charge of
environmental protection and the department in charge of foreign trade and
economic cooperation under the State Council.

    Specific measures shall be formulated by the State Council.

    Section 2  Prevention of Environmental Pollution Caused by Industrial
Solid Waste

    Article 26  The administrative department in charge of environmental
protection together with the department in charge of comprehensive economic
affairs under the State Council and other departments concerned shall
designate the environmental pollution caused by industrial solid waste,
formulate policies on technologies for the prevention of environmental
pollution caused by industrial solid waste, and organize the spread of
advanced production technologies and equipment for the prevention of
environmental pollution caused by industrial solid waste.

    Article 27  The department in charge of comprehensive economic affairs
together with other departments concerned under the State Council shall
organize the research, development, and popularization of production
technologies and equipment for reducing the amount of industrial solid waste,
and shall promulgate a catalogue of backward production technologies and
equipment that are responsible for industrial solid waste resulting in serious
environmental pollution and that are to be eliminated within a specified time.

    The manufacturer, retailer, importer, or consumer must stop respectively
producing, marketing, importing, or utilizing the equipment listed in the
catalogue stipulated in the preceding paragraph within the specified time
granted by the department in charge of comprehensive economic affairs and
other departments concerned under the State Council. The applier of production
technologies must cease use of those technologies listed in the catalogue
stipulated in the preceding paragraph within the specified time granted by the
department in charge of comprehensive economic affairs and other departments
concerned under the State Council.

    Any equipment required to be eliminated in accordance with the
stipulations in the two preceding paragraphs shall not be transferred to
others for use.

    Article 28  The departments concerned under the people’s governments at
the county level or above shall formulate a plan for the prevention of
environmental pollution caused by industrial solid waste, the popularization
of advanced production technologies and equipment for reducing the amount of
industrial solid waste, and the promotion of work on the prevention of
environmental pollution caused by industrial solid waste.

    Article 29  Those units that produce industrial solid waste shall
establish and amplify a responsibility system for the prevention of
environmental pollution and take measures for preventing environmental
pollution caused by industrial solid waste.

    Article 30  Enterprises and institutions shall rationally choose and
utilize raw materials, energy and other resources, apply advanced production
technologies and equipment, and reduce the amount of industrial solid waste.

    Article 31  The state shall implement a reporting and registration system
for industrial solid waste.

    Those units which produce industrial solid waste shall present data
concerning the volume of waste they produce, its direction of flow, and the
methods of storage and disposal to the administrative departments in charge of
environmental protection under the people’s governments at the county level or
above in that locality, in accordance with the regulations of the
administrative department in charge of environmental protection under the
State Council.

    Article 32  All enterprises or institutions which produce industrial solid
waste that cannot be utilized, whether at all or temporarily, must, in
accordance with the regulations of the administrative departments in charge of
environmental protection under the State Council, construct facilities or
sites for its storage or disposal.

    Article 33  Those who store smelting residue, chemical residue, coal ash
residue, discarded ore, tail ore, or other industrial solid waste out-of-doors
shall construct special facilities or sites for its storage.

    Article 34  Construction of the facilities and sites for the storage and
disposal of industrial solid waste shall be in accordance with the
environmental protection standards that have been stipulated by the
administrative department in charge of environmental protection under the
State Council.

    As to those units which produce industrial solid waste before this Law is
implemented, if they fail to construct facilities or sites for the storage or
disposal of industrial solid waste in accordance with the regulations of
Article 32 of this Law, or if the facilities or sites they have already
constructed do not conform to environmental protection standards, they shall
carry out such construction or reconstruction within a specified period of
time. During this time period, waste-discharge fees or other measures shall be
implemented for any newly-produced industrial solid waste from the
above-mentioned units which pollutes the environment. Those units which
complete within the specified time period construction of the facilities or
sites for storage or disposal of industrial solid waste, or make them conform
with the environmental protection standards through reconstruction, may cease
payment of waste-discharge fees from the day when the construction or
reconstruction is completed. Those units which fail to complete construction
before the deadline or which still cannot meet the standards after
reconstruction shall continue to pay waste-discharge fees until the
construction is completed or the standards are met through reconstruction. The
relevant specific means shall be stipulated by the State Council. The
waste-discharge fees shall be reserved for the prevention and amelioration of
environmental pollution and shall not be appropriated for any other use.

    Section 3  Prevention of Environmental Pollution Caused by Urban
Residential Refuse

    Article 35  All units and individuals shall obey the regulations of the
administrative departments in charge of environment under urban people’s
governments by emptying and piling urban residential refuse at designated
places. Throwing or piling rubbish outside these designated places is
forbidden.

    Article 36  The storage, transport, and disposal of urban residential
refuse shall, with the purpose of preventing environmental pollution, comply
with the regulations of the state concerning environmental protection and
urban environment.

    Article 37  Urban residential refuse shall be cleared and carried away
without delay. Reasonable utilization and neutralization shall be actively
conducted.

    The separate collection, storage, transport, and disposal of urban
residential refuse of different classifications shall be gradually implemented.

    Article 38  The urban people’s governments shall make plans for improving
the fuel structure and developing urban coal gas, natural gas, liquefied
petroleum gas, and other clean energy resources.

    The relevant departments under the urban people’s governments shall
arrange for clean vegetables to enter cities to reduce urban residential
refuse.

    The relevant departments under the urban people’s governments shall make
comprehensive plans to reasonably arrange a purchasing network and promote the
recycling of waste.

    Article 39  The urban people’s governments shall construct supporting
facilities for the cleaning, collection, storage, transport, and disposal of
urban residential refuse.

    Article 40  The construction of the facilities and sites for the disposal
of urban residential refuse shall be in accordance with the standards of
environmental protection and urban environment stipulated by the
administrative department in charge of environmental protection and the
department in charge of construction under the State Council.

    Unauthorized closure, disuse, or dismantling of the facilities or sites
for the disposal of urban residential refuse is forbidden; for those that
require closure, disuse, or dismantling, inspection and approval must be made
by the administrative department in charge of environmental sanitation as well
as the department in charge of environmental protection under the people’s
governments at the county level or above in that locality; meanwhile, other
measures shall be adopted to prevent environmental pollution.

    Article 42  The regulations in this Chapter apply to the prevention and
cure of environmental pollution caused by dangerous waste. Those not mentioned
in this Chapter shall accord with the other regulations of this Law.

    Article 43  The administrative department in charge of environmental
protection under the State Council shall draw up a national list of dangerous
waste in conjunction with relevant departments under the State Council, and
stipulate unified differentiating standards, methods, and identification marks
for dangerous waste.

    Article 44  Identification marks shall be placed on the containers and
packing materials for dangerous waste and posted at the facilities and sites
for the collection, storage, transport, and disposal of dangerous waste.

    Article 45  Those units which produce dangerous waste shall report and
register in accordance with the relevant regulations of the state.

    Article 46  Those units which produce dangerous waste shall dispose of
them in accordance with the relevant regulations of the state. Those who fail
to properly dispose of the waste will be required to make rectifications
within a specified time period by the administrative department in charge of
environmental protection under the people’s governments at the county level or
above in that locality; as to those units which fail to dispose of the waste
before the deadline or which do not carry out disposal in accordance with the
relevant regulations of the state, designated units of the administrative
department in charge of environmental protection under the people’s government
at the county level or above in that locality shall undertake to dispose of
the waste for them, and all expenses for disposal shall be born by those units
which have produced the dangerous waste.

    Article 47  The urban people’s governments shall organize the construction
of the facilities for the centralized disposal of dangerous waste.

    Article 48  Those who adopt the disposal method of burying dangerous waste
but fail to conform to the regulations of the administrative department in
charge of environmental protection under the State Council shall pay
waste-discharge fees for dangerous waste. The specific means for levying the
discharge fees for dangerous waste shall be stipulated by the State Council.

    The discharge fees for dangerous waste shall be reserved for the
prevention and amelioration of environmental pollution caused by dangerous
waste and shall not be appropriated for any other use.

    Article 49  Those units which engage in operational activities concerning
the collection, storage, and disposal of dangerous waste shall submit
applications for operational licenses to the administrative department in
charge of environmental protection under the people’s government at the county
level or above. The specific means for doing this shall be stipulated by the
State Council.

    No unit may engage in operational activities concerning collection,
storage, and disposal of dangerous waste without a operational license or fail
to be in accordance with the regulations of the license.

    No unit may supply or consign dangerous waste to those units without
operational licenses to engage in any operational activities concerning
collecting, storage, and disposal of dangerous waste.

    Article 50  Dangerous waste of different classifications shall be
collected and stored separately according to their properties. Mixed
collection, storage, transport, and disposal shall be forbidden for different
dangerous waste materials which are not compatible and which have not
undergone safety processing.

    Mixed storage of dangerous waste with non-dangerous waste is forbidden.

    Article 51  Those who require the transfer of dangerous waste shall fill
in forms for the transference of dangerous waste in accordance with relevant
state regulations and shall report to the administrative departments in charge
of environmental protection under the local people’s governments at the county
level or above in the area from which the waste is being transferred and in
the area which is receiving the waste.

    Article 52  Measures for the prevention of environmental pollution shall
be adopted during transport of dangerous waste; meanwhile, the state
regulations concerning management of the transport of dangerous waste shall be
obeyed.

    Transport of dangerous waste in a passenger vehicle is forbidden.

    Article 53  The sites, facilities, equipment, containers, packagings, and
other items used for the collection, storage, transport, or disposal of
dangerous waste shall be treated to eliminate pollution before they are
diverted for other use.

    Article 54  Those workers who will engage in the collection, storage,
transport, recycling, and disposal of dangerous waste shall undergo
professional training and testing before being assigned such posts.

    Article 55