Laws of the People's Republic of China

Circular of the Ministry of Finance and the State Administration of Taxation on the Issue of Tax Refund of Fixed Assets Input Tax in Northeast Region for the Year 2006

Cai Shui [2006] No. 156

Departments (Bureaus) of Finance of Liaoning province, the city of Dalian, Jilin province and Heilongjiang province and the State Administration of Taxation:

In order to undertake smoothly the relevant tax refund of extending the scope of VAT deduction in Northeast region in 2006, related matters are hereby notified as follows:

1.

For taxpayers who are incorporated into extending the scope of VAT deduction of Northeast region, the fixed assets input tax that occurred from December 1, 2005 to November 30, 2006, shall, upon approval by the local financial department, undertake tax refund besides the withdrawal from the realized and put-in-warehouse VAT.

2.

As regards fixed assets input tax that occurred after December 1, 2006, the added amount, for the time being, shall be followed to calculate means of tax refund.

State Administration of Taxation

November 17, 2006