China — Value-added tax (VAT)
|General VAT Rate||Other Rates||Local Currency|
|17%||13%, 11%, 6%, 3%||Yuan Renminbi (CNY)|
China's general VAT rate is 17%, with other rates including 13%, 11%, 6% and 3% that can apply to certain transactions.
Visitors to China can qualify for a VAT refund on all purchases made for export - learn more about China VAT refunds here.
China has the following special VAT rates on various products:
11% – retail; entertainment; hotel; restaurants; catering services; real estate and construction, telephony calls; postal; transport and logistics
6% – financial services and insurance; telephony and internet data; IT; Technology; Consulting; Broadcast
Other Chinese Consumption Tax rates include the following:
3% – Chinese National Education Tax
2% – Chinese Local Education Taxes
7% – City Maintance & Construction Taxes.
China's consumption tax is called the Value-added tax (VAT),
1 January 1994
China VAT rates for 2019
- 3%, 13%
- Exempt and exempt with credit
VAT pilot (for details, see Section K):
- General VAT taxpayers
- 6%, 11%, 13%, 17%
- Small-scale VAT taxpayers
China VAT number format
Businesses in China that are required to collect tax will be issued an identification number. Tax identification numbers can be verified with the , and will follow a certain format. The VAT number format is XXXXXXXXXXXXXXXXXX (for entities established 1 October 2015 or later; 1-digit Registration Management Department code + 1-digit entity type code + 6-digit administrative division code + 9-digit organization code + 1-digit verification code).
XXXXXXXXXXXXXXX (for entities registered before 1 October 2015; 6-digit administrative division code + 9-digit organization code)
China VAT return periods
Businesses in China that are required to collect tax from consumers must file regular tax returns with the in Beijing. China's VAT return periods are:
Tax periods range from one day to one quarter
China Value-added tax (VAT) Thresholds
These are the revenue thresholds at which businesses in China are required to start collecting and remitting tax.
- Monthly turnover from CNY5,000 to CNY20,000 for supplies of goods
Monthly turnover from CNY5,000 to CNY20,000 for supplies of services
Daily turnover from CNY300 to CNY500 (the local tax offices set the actual thresholds within the above ranges; see Section C)
Recovery of VAT by non-established businesses
Non-established businesses are small, unincorporated businesses that sell taxable goods and may consist of a single individual, or several. Non-incorporated businesses in China are not required to collect taxes from the consumer.
China VAT Refunds
China has a VAT refund program that allows tourists and others to receive a refund of any China VAT paid on goods purchased in China that are being exported from the country.
The minimum purchase amount needed to claim a VAT refund is €500.00 Euros (which would yield a VAT refund of about €85). SalesTaxHandbook has detailed information about China's VAT refund program:Learn More About China VAT Refunds
China Tax Sources & Citations
- EN: China Value Added Tax
- RU: НДС China
- CN: China 增值税
- Ernst & Young global VAT tax study, China (updated 2019)
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