Home | Hotels | Hotels Video | China Flights | China Train Tickets | Main cities | China map | Contact us | Reservation Status  

 China Law information


(State Administration of Taxation: 6 December 1994 Coded Guo ShuiHan Fa [1994] No. 644)

(State Administration of Taxation: 6 December 1994 Coded Guo ShuiHan Fa [1994] No. 644) Whole Doc.

To the Guangdong Provincial State Tax Bureau: We have recently acknowledged the receipt of a letter from the Guangzhou Municipal Tax Bureau asking for Instructions on the Question Concerning the Levy of Business Tax on Cooperative Development of the Real Estate Sector, a document coded Shui Yi [1994] No. 327. The letter says that some domestic enterprises have cooperated with foreign businessmen in building commodity houses on the land where the supply of water, electricity and gas has been made available and the ground has been levelled, both parties set up cooperative companies and received business license, with the Chinese party transferring the land-use right to the cooperative companies, while the foreign party being responsible for all funds needed for the building of commodity houses and for the sales of commodity houses abroad, both sides adopted the distribution methods of distributing construction area and sales income and drawing fixed profits.

The letter demanded that the question as to how to calculate and levy business tax related to the behavior of the transfer of land-use right involved in the above-mentioned business activities. After study, we now give the written reply as follows: I. The taxation question concerning tax on Sino-foreign cooperative construction of houses.

After the Chinese side performs the procedures for the transfer of the land-use right in its cooperation with the foreign party on the land it obtains, the method of whether distributing the area of the completed commodity house, or distributing the income from the sales of the commodity house does not conform with the stipulations of the current policy that "business tax is exempt from the behavior of investing and buying shares with invisible assets, participating in and accepting the investor's profit distribution and jointly undertaking the investment risk"; therefore, business tax shall be levied in accordance with the tax category of "transferring invisible assets"; its business volume should be all the income actually gained, including charges not included in the calculated prices; the tax paying time should be the very day when the income is gained.

At the same time, tax shall also be levied on the sales of commodity houses. If the method of distributing houses (including the distribution of area) which are then sold respectively by each party is adopted, then business tax shall be levied on the incomes from the sales of commodity houses by both Chinese and foreign parties in accordance with the stipulation of "selling immovable property"; if the method of unified sales of houses and redistribution of sales income is adopted, then business tax is levied on the income from unified sales of commodity houses in accordance with the stipulation of "selling immovable property"; if the method of paying fixed profits to the Chinese party is adopted, then business tax is levied on all the incomes gained by the foreign party from the sales of commodity houses in accordance with the stipulation of "selling immovable property".

II. The taxation question concerning the development expenses gained from the first-phase project by the Chinese party The development expenses for the first-phase project paid in advance by the foreign party to the Chinese party shall be regarded as the business income gained by the Chinese party by the method of receiving the money in advance, business tax is calculated and levied in line with the stipulation of the transfer of land-use right. With regard to this already taxed development expense, which shall be accurately deducted from the due income of the Chinese party, may directly eat up the current business income of the Chinese party.

III. The fixed profits gained regularly by the Chinese party shall be regarded as the income gained by the transfer of the land- use right, on which business tax is calculated and levied.


Search China Hotels China Hotels:
Please Select a City:
Find Your Hotel With China Map
Check-in:
Show Calendar
Check-out:
Show Calendar
Currency Adults Child

Search China Flight Ticket China Flight:
One Way Round-Trip
Departure city:
Destination:
Departure date:
Return date:



China Cities:
China Introduction
Beijing Travel Info
Changchun Travel Info
Changsha Travel Info
Chengde Travel Info
Chengdu Travel Info
Chongqing Travel Info
Dali Travel Info
Dunhuang Travel Info
Guilin Travel Info
Haikou Travel Info
Hangzhou Travel Info
Harbin Travel Info
Nanning Travel Info
Ningbo Travel Info
Qingdao Travel Info
Shanghai Travel Info
Shenyang Travel Info
Shenzhen Travel Info
Suzhou Travel Info
Taian Travel Info
Tianjin Travel Info
Weihai Travel Info
Wuyishan Travel Info
Xiamen Travel Info
Xian Travel Info
Yangzhou Travel Info
Zhuhai Travel Info

China Hotels
Aksu
Alxa
Anqing
Anshan
Anshun
Anyang
Baishan
Baoding
Baoji
Baotou
Bazhong
Beidaihe
Beihai
Beijing
Bengbu
Binzhou
Bozhou
Cangzhou
ChangChun
Changde
Changsha
Changshu
Changzhi
Changzhou
Chaohu
Chaoyang
Chaozhou
Chengde
Chengdu
Chenzhou
Chifeng
Chongqing
Chuxiong
Chuzhou
Cixi
Dali
Dalian
Dandong
Daqing
Datong
Daxinanling
Daye
Dehong
Dengfeng
Deyang
Dezhou
Dongguan
Dongxing
Dongying
Dujiangyan
Dunhuang
Emeishan
Enshi
FangChengGang
Fenghua
Fenghuang
Foshan
Fuding
Fushun
Fuyang
Fuzhou
Ganzhou
Guang'an
Guangyuan
GuangZhou
Guilin
Guiyang
Haikou
Haining
Handan
Hangzhou
Harbin
Hefei
Hegang
Heihe
Hengshui
Hengyang
Hetian
Heyuan
Heze
Hohhot
HongKong
Huaian
Huaibei
Huaihua
Huainan
Huangshan
Huangshi
Huizhou
Hulunbeier
Huzhou
Ji'an
Jiamusi
Jiangmen
Jiangyin
Jiaozuo
Jiaxing
Jiayuguan
Jieyang
Jilin
Jinan
Jincheng
Jingdezhen
Jinggangshan
Jingmen
Jingzhou
Jinhua
Jining
Jinzhong
Jiuhuashan
Jiujiang
Jiuquan
Jiuzhaigou
Jixi
Jiyuan
Kaifeng
Kaiping
Karamay
Kashen
Korla
Kunming
Kunshan
Langfang
Lanzhou
Leshan
Lhasa
Lianyungang
Liaocheng
Liaoyang
Lijiang
Linfen
Linyi
Lishui
Liuzhou
Longyan
Loudi
Luoyang
Lushan
Maanshan
Macau
Maoming
Meishan
Meizhou
Mianyang
Mudanjiang
Nanchang
Nanchong
Nanjing
Nanning
Nanping
Nantong
Nanyang
Ningbo
Ningde
Ordos
Panjin
Panzhihua
Penglai
Pingxiang
Pingyao
Putian
Putuoshan
Qian'nan
Qiandaohu
Qiandongnan
Qidong
Qingdao
Qingyuan
Qinhuangdao
Qionghai
Qiqihaer
Qitaihe
Quanzhou
Qufu
Qujing
Quzhou
Rizhao
Ruian
Sanmenxia
Sanming
Sanya
Shanghai
Shangrao
Shangri-la
Shantou
Shanwei
Shaoguan
Shaoshan
Shaoxing
Shenyang
Shenzhen
Shijiazhuang
Shishi
Shiyan
Shouguang
Suining
Suizhou
Suqian
Suzhou(Jiangsu)
Taian
Taicang
Taiyuan
Taizhou(Jiangsu)
Taizhou(Zhejiang)
Tangshan
Tengchong
Tianjin
Tianshui
Tieling
Tonghua
Tongliao
Tongling
Tongren
Turpan
Urumqi
Wanning
Weifang
Weihai
Weinan
Wenshan
Wenzhou
Wuhai
Wuhan
Wuhu
Wuwei
Wuxi
Wuyishan
Wuzhishan
Wuzhou
Xiamen
Xian
Xian'ning
Xiangfan
Xiangtan
Xianyang
Xiaogan
Xichang
Xilinhot
Xingyi
Xining
Xinxiang
Xinyu
Xinzhou
Xishuangbanna
Xitang
Xuchang
Xuzhou
Ya'an
Yancheng
Yandangshan
Yangjiang
Yangquan
Yangshuo
Yangzhou
Yanji
Yantai
Yibin
Yichang
Yichun
Yichun(Jiangxi)
Yinchuan
Yingkou
Yining
Yiwu
Yixing
Yiyang
Yongzhou
Yueqing
Yueyang
Yulin(Guangxi)
Yulin(Shaanxi)
Yuncheng
Yunfu
Zaozhuang
Zhangjiagang
Zhangjiajie
Zhangjiakou
Zhangzhou
Zhanjiang
Zhaoqing
Zhengzhou
Zhenjiang
Zhongshan
Zhongwei
Zhoukou
Zhoushan
Zhouzhuang
Zhuhai
Zhuji
Zhuzhou
Zibo
Zigong
Zunyi
| Home | Hotels | Hotels Video | China Flights | Flights Schedule | Pickup Service | Travel Packages | Affiliate | Add your hotels | Interprete Italiano-Cinese | Contact | Site Map | Link | FAQ | About Us
Copyright © 2001-2024 China Hotels Reservation - All Rights Reserved
Europe Office: ChinaHotelsReservation- Via Gerolamo Forni 64 - 20161 Milano - Fax 0291390522
China Office: China Travel(Hualv) Business co.,Ltd. - Tel 0086-577-88555070 Fax 0086-577-88522570
Xishan Donglu Xicen Gongyu 7 Zhuang 802 - 325005 Wenzhou China