Laws of the People's Republic of China

Circular of the State Administration of Taxation on Relevant Data Processing Issues Concerning Record of Export Contract

Guo Shui Han[2006] No. 877

The state taxation bureaus of all provinces, autonomous regions, municipalities directly under the central government, and cities specifically designated in the state plan, According to spirits of the Circular of the Ministry of Finance, the National Development and Reform Commission, the Ministry of Commerce, the General Administration of Customs, and the State Administration for Taxation on Adjusting the Tax Rebating Rate of Part of Export Commodities and Subjoining Catalogue of Commodities Banned(Cai Shui [2006]No.139), and the Circular of the State Administration for Taxation on Relevant Issues Concerning Record of Export Contract(Guo Shui Han[2006]No.847, for the purpose of preparing well in time the record of export contract and the later relevant tax rebating, and upon study, the relevant matters are hereby notified as follows:

1.

In accordance with the relevant stipulations in Cai Shui [2006] No.139 and Guo Shui Han [2006] No.847, when the export enterprise applies to the taxation offices in charge for record of export contract, it shall proceed the contract record data collection via the relevant module of export contract record in the tax rebating declaring system, and submit to the taxation offices both the e-data such as Application for Record of Export Contract (see Appendix 1 of Guo Shui Han[2006] No.847, similarly hereafter) and two hardcopies of Return Receipt of Export Contract Record Acceptance(see Appendix 1 of the present Circular).

2.

When accepting the record of export contract of export enterprises, taxation offices shall compare the hardcopies materials such as contract to be recorded, forms with the relevant e-data, focusing on check of the number of export contract to be recorded, number of record, and the total value. Where the hardcopies and e-data are inconsistent with each other, or the contract is found during the acceptance inconsistent with Article 1 and Article 2 of Guo Shui Han [2006] No.847, taxation offices shall send back the export contract inconsistent with the stipulations to the export enterprise, cannot accept the record of such contract in the future, and delete the relevant record of such export contract out of the record table and e-data base. Where the export enterprise's miss-input and e-data mistakes resulted from the technique problems found during the acceptance, taxation offices may require the enterprise to correct and re-submit. After acceptance, taxation offices shall sign and cover seal over the Return Receipt of Export Contract Record Acceptance, one of which to be sent back to the export enterprise, the other of which to be filed.

After acceptance, taxation offices shall handle the check strictly in accordance with Guo Shui Han[2006] No.847. Where the export contract is found during the check to be inconsistent with stipulations, taxation offices shall send it back to the enterprise, may not accept the record of such contract in the future, and delete the relevant record of such export contract out of the record table and e-data base. Where the export enterprise's mis-input and e-data mistakes resulted from technique problems found during check, taxation offices may require the enterprise to correct and re-submit. When the check is finished, taxation offices shall read in the tax rebating check system the affirmed e-data, as the original e-account for the future tax rebating check. At the same time, taxation offices shall print two copies of Return Receipt of Export Contract Record Check Result (see Appendix2 of this Circular), one of which to be sent back to the export enterprise, the other of which to be filed.

3.

Where the export enterprise's export contract has been recorded before issuing the present circular, if the taxation office has produced the recorded export contract's acceptance and check result documents to the export enterprise, the enterprise does not need to make up the Return Receipt of Export Contract Record Acceptance and Return Receipt of Export Contract Record Check Result. If the taxation office has not produced, the enterprise shall make up the Return Receipt of Export Contract Record Acceptance and Return Receipt of Export Contract Record Check Result according to the present circular. In addition, the taxation office shall require the export enterprise to submit e-data of Application for Record of Export Contract of the recorded export contract affirmed through check made via the tax rebating declaring system.

4.

Where the enterprise applies to the customs goods of the recorded export contract from Sept.15, 2006 to Dec. 14, 2006, it shall fill out "HTBA (initial of He Tong Bei An, in Capital letters)"in remark column of Tax Rebating Reporting List when applying for tax rebating (exempting). Before the current software of goods check in export contract record finishes its upgrading, after accepting the enterprise's declaration, taxation offices shall adopt a method of Man-Machine integration to check the exported goods tax rebating (exempting) of export contract record.

5.

In order to coordinate the e-data administration of export contract record, the State Administration for Taxation upgrades the export tax rebating declaring and check system. The upgraded manufacture enterprise export tax rebating declaring system (Version 6.2), Foreign Trade Enterprise export tax rebating declaring system (Version 8.2), and export tax rebating check system (Version 6.0 SP3) is to be issued together with the present circular. The main content of this system upgrade on export contract record: adding functions such as relevant parameter configuration of export contract record, data collection, check, reporting, and cancellation of the recorded contract. The main content of this system upgrade on export tax rebating check: adding relevant functions such as reading, adjusting, check, re-check, return receipt issuing, data feedback of export contract record. For details, please see Upgrading Design Scheme of Export Contract Record Declaring and Check System ( see Appendix 3).

6.

System release and technical support:

The upgraded software of export tax rebating declaring and check system are placed on "Technical Support Website of the State Administration for Taxation Application System" and "Server of Import& Export Department, the State Administration of Taxation \ Program Release \ Export Tax Rebating Networks Administration System". After downloading the patch for export tax rebating check system, taxation offices in all regions may install and upgrade directly. After downloading the patch for export tax rebating check system, taxation offices in all regions shall confirm that the software can be installed normally, and grant the software to export enterprise, or notify the enterprise to log on www.taxrefund.com.cn and download the software for free.

Currently, the technical support service for export tax rebating system has been brought into Administrative Information System Call Center of State Administration of Taxation. When the staff in taxation system needs support service, please ask for the service via hot line (4008112366) or support website (internal website130.9.1.248) in accordance with the Administrative Measures for the Function and Maintenance of Taxation Administrative Information System(for Trial Implementation)(Guo Shui Fa [2005] No.128) and Circular of the State Administration of Taxation on Establishment of Administrative Information System Calling Center of State Administration for Taxation(Guo Shui Han[2005]No.833).

Taxation offices in various regions shall collect the problems in software function, and give feedback to the State Administration of Taxation (Import & Export Taxation Administration Department) in time. The method for feedback: upload the e-document to the catalogue of "upload from various regions/ reporting" of the FPT communication server of the Import & Export Taxation Administration Department (IP of the internal website: 100.16.125.25).

7.

Taxation offices in various regions shall immediately publicize and assist export enterprises to ensure the launch of e-data processing of export contract record in time.

Appendixes:

1.

Return Receipt of Export Contract Record Acceptance

2.

Return Receipt of Export Contract Record Check Result

3.

Upgrading Design Scheme of Export Contract Record Declaring Check System

State Administration of Taxation

Sept. 25, 2006

Appendix 1:

Return Receipt of Export Contract Record Acceptance

Code of the Export Enterprise:                

Name of the Export Enterprise:               

Identity No. of Taxpayer:                    

Annotate:

1. Code of the Export Enterprise is the Customs Code of the export enterprise

2. This writ is to be printed by the export enterprise and submit to the taxation office. After taxation office's acceptance and record, the writ shall be signed by the acceptor and covered seal of the taxation office, and sent back to the export enterprise.

Appendix 2:

Return Receipt of Export Contract Record Check Result

Code of the Export Enterprise:                       

Name of the Export Enterprise:            , SN:            

Identity No. of Taxpayer:                                 

Annotate:

1.Code of the Export Enterprise is the Customs Code of the export enterprise

2. This writ shall be produced by the taxation offices to the export enterprise after the 1st check and re-check of export contract are recorded

3.The SN is created automatically by the export tax rebating check system

Appendix 3:

Upgrading Design Scheme of Export Contract Record Declaring Check System

1. General Introduction:

(1) System designed and developed in accordance with that:

a. the Circular of the Ministry of Finance, the National Development and Reform Commission, the Ministry of Commerce,  the General Administration of Customs, and the State Administration for Taxation on Adjusting the Tax Rebating Rate of Part of Export Commodities and Subjoining Catalogue of Commodities Banned(Cai Shui [2006] No.139);

b. the Circular of the State Administration of Taxation on Relevant Issues Concerning Record of Export Contract(Guo Shui Han[2006]No.847).

(2) System designed and developed with the thoughts that:

a. More than 1,500 commodity codes are adjusted this time, 1/10 of commodity code base of export tax rebating;

b. For most enterprises and most export businesses, "Normal" commodity export declared at the customs is adopted. Therefore, to regulate enterprise's prophase action can effectively decrease the later administrative cost and improve the work efficiency.

c. This system adjustment is strongly updated.

d. Since the arrangement involved in the system adjustment is so wide, in order to lessen the instability, the adjustment shall be limited only to ensure the functions. During the tax rebating declaration, as to the export of the recorded contract, the attached form of the export tax rebating declaration form, i.e. the application form of the export tax rebating declaration of the recorded contract shall be adopted. This method may effectively decrease the influence of the operation adjustment on its relevant operations.

e. Administration of recorded contract shall be brought into the system and handled as the document registration business and the data checked shall be deemed as the e-ledger, and wholly integrate with the tax rebating daily administration.

2. Relevant design for declaration system of export contract record:

(1) System designed with the thoughts that:

a. Generally, the goods enterprise exported shall be relatively stable. So, the enterprise shall record according to the accurate commodity, and shall declare with the commodity code in the recorded contract when declaring export tax rebating.

b. Where one contract involving several export commodities, the export contract record application form in the system adds a field of "No. of Item in Contract" to distinguish the different export commodities and each commodity has one "No. of Item" in the same contract.

c. The enterprise shall convert according to the customs corresponding measurement unit of the export commodity when going through the contract record application form, and input the converted volume as record.

d. The enterprise shall convert the settlement currency of the export commodity to USD in the contract record application form, and shall input USD value after conversion.

e. Export contract record application form is to be administered in the export tax rebating administrative system. Before Sept. 30, 2006, enterprise may multi-declare its export contract record application form. However, each declaration cannot involve repeated declaration of contract number.

(2) System function adjustment:

Export contract record application form is involved in the export tax rebating declaration system, and is to be administered in the export tax rebating document record catalogue.

The export tax rebating declaration system includes functions of export contract record application form collection, export contract record application form declaring, and export contract record application form canceling, etc.

a. Export contract record application form collection

"Export contract record application form" collection function is added in the export tax rebating declaration system. Enterprise user shall collect export contract record application form data through such function.

In collecting the export contract record application form, the data declared may be corrected and adjusted.

Explanation of field to be collected:

Over-considered that the accurate export commodity code of the exact export goods may not be got in export contract record, the "No. of Item in Contract" is added in design, which prepares well for the later recorded contract export tax rebating declaration and check. The system makes judgment of whether the contract is to declare tax rebating through whether "HTBA" is included in remark of the export list. The system builds a relation between the export list and recorded contract by inputting "Export Keyword, No. of Contract, SN of Contract" in a form in middle.  "Export Keyword" for manufacturing enterprise is "Declaration Year/Month + SN", and for foreign trade enterprise is "Declaration Year/Month + Relating No. + SN".

"No. of Export Contract" must be inputted for the export contract signed between the enterprise and foreign company. Otherwise, the application form is not accepted.

"Export Agent Agreement No.": for the export agent operation, the commission enterprise shall input the export agent agreement number, and "Export Contract No." must be inputted at the same time.

"Export Contract Item No.": the export contract may involve several export commodities, and the enterprise shall declare in classes according to the rule.

"Date of Contract Conclusion": to judge, according to the date the enterprise inputs, whether the contract is signed before Sept.14, 2006.

"Contract Term": from export contract conclusion to it is fully performed.

"Export Commodity Code": the enterprise cannot get the exact export commodity code before the actual export, but most export commodities are usually daily business that can be controlled. The rate of export strange commodity is rare. So, the enterprise shall try its best to input the accurate commodity code.

"Commodity Name in Code Base": by inputting the export commodity code, system gives the name automatically according to export commodity tax rebating rate base, as a clue field.

"Export Commodity Name": the system shows the name automatically according to the export commodity tax rebating rate base by inputting export commodity code, and the enterprise may adjust according the exact export situation.

"Tax Rebating Rate": the system shows the rate automatically according to the export commodity tax rebating rate base by inputting export commodity code, and the enterprise may adjust according the exact export situation.

"Measurement Unit": the system shows the unit automatically according to the export commodity tax rebating rate base by inputting export commodity code, and the enterprise may adjust according the exact export situation.

"Export Volume": if the unit of the contractual amount is inconsistent with the code base, the enterprise is required to convert the unit according to the first unit of measurement of the customs export commodity code, and to record the conversion in the contract.

"Export Value": in USD. The enterprise shall convert the export value in other currency into USD according to the exchange rate and then input.

"Export Volume (contract performed before the tax rebating rate adjusted)": the contract performance before the export commodity tax rebating rate adjustment, i.e. the exact export volume.

"Export Value (contract performed before the tax rebating rate adjusted)": the contract performance before the export commodity tax rebating rate adjustment, i.e. the exact export value, converted in USD.

"Export Volume (contract recorded)": the exact export volume in the contract record. In the export detail data declaration, the system mainly focuses on the check of the total volume control of "recorded volume". The system logically judges the "export volume", "export volume (contract performed before tax rebating rate adjusted)"and "Export Volume (contract recorded)"and checks and controls accordingly.

"Export Value (contract recorded)": the exact export value in contract record. In export detail data reporting, the system check mainly focuses on the total value control of "recorded value". The system logically judges the "export value", "export value (contract performed before the tax rebating rate adjusted)"and "Export value (contract recorded)" and checks and controls accordingly.

"Contract Type" is mainly set for the instruction of the long-term charcoal export contract. To clearly indicate the contract type by that field, firstly by "MT"(Mei Tan), and to add other marks when the later adjustment is required.

b. Export contract record application form reporting:

When reporting export contract record application form, the system provides printing one Export Contract Record Application Form, two pieces of Return Receipt of Export Contract Record Acceptance (see in the attached Return Receipt of Export Contract Record Acceptance).

The system handles the report according to the data.

c. Export contract record application form canceling:

The system provides Export contract record application form canceling function. Detail design can be seen in document declaration canceling of the export tax rebating declaration system.

3. Relevant design for the export contract record check system:

Corresponding adjustment of the export tax rebating check system includes: export contract record application form data reading in, export contract record application form adjustment, export contract record application form check, export contract record application form re-check, and check result return receipt, etc.

(1) Export contract record application form data reading in

Export tax rebating check system reads in the data of the export contract record application form. The reading procedure rule refers to the mode of reading in the export document data.

(2) Export contract record application form input

In the especial situation, when inputting the export contract record application form, the export contract record application form data reading in may be corrected and adjusted.

(3) Export contract record application data check

In export contract record application data check, three checking points are designed currently: whether the enterprise's export contract record data is concluded before Sept. 14, 2006; the logical relation between the recorded export volume and export value, export volume and export value, and export volume and export value before the tax rate adjustment in export contract record data; whether the export commodity code in the recorded contract is the one in this tax rate adjustment.

The check includes doubtful point check, doubtful point handling. The data shall turn to re-check after passing the check.

4. The detailed operation instruction of the software shall adopt a form of e-document and be released with the software.