CT is calculated by multiplying the sales value of the taxable items with applicable rate, or by multiplying the total sales volume by the applicable fixed amount of each taxable unit. Sales value should comprise the total cost and additional charges and fees received for the sales of the taxable consumer goods exclusive VAT.
No. Item Tax Rate 1 Tobacco 1. Cigarettes (1) Category A Cigarettes (2) Category B Cigarettes 2. Cigars 3. Cut tobacco 45%+ RMB 0.003 /per one 30%+ RMB 0.003 /per one 25% 30% 2 Alcoholic drinks and alcohol 1. white spirits 2. yellow spirits 3. beer (1) Category A […]
CT is a turnover tax levied on manufacturers and importers of specific luxury goods. The objectives of levying consumption tax consist of three aspects: a)Increase the fiscal revenue without significant negative effect on overall market demands as the demands for goods subject to CT are relatively inelastic b)Reallocate social wealth since it is imposed on […]