Implementation Regulations for the Law of the People’s Republic of China on Administration of Tax Collection 中华人民共和国税收征收管理法实施细则（2016修订）

Implementation Regulations for the Law of the People’s Republic of China on Administration of Tax Collection

Implementation Regulations for the Law of the People’s Republic of China on Administration of Tax Collection‍

中华人民共和国税收征收管理法实施细则（2016修订）

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CHAPTER 1 — GENERAL PRINCIPLES

Article 1
These Regulations are formulated pursuant to the provisions of the Administrative Law of the People's Republic of China on the Levying and Collection of Taxes (hereinafter referred to as the "Administrative Law on Tax Levying and Collection").

Article 2
The Administrative Law on Tax Levying and Collection and these Regulations shall apply to administration of collection of various taxes by the tax authorities pursuant to the law;
where there are no provisions stipulated in the Administrative Law on Tax Levying and Collection and these Regulations, the matter shall be dealt with pursuant to the provisions of other relevant tax laws and administrative regulations.

Article 3
Tax authorities shall not implement invalid decisions made by any department, organisation or individual which are in conflict with tax laws and administrative regulations and shall report such cases to the higher-level tax authorities.

Taxpayers shall perform tax payment obligation in accordance with the provisions of tax laws and administrative regulations. Contracts or agreements executed by taxpayers who are in conflict with tax laws and administrative regulations shall be invalid.

Article 4
The State Administration of Taxation shall be responsible for formulation of overall plans, technological standards, technological plans and implementation measures for nationwide development of computerised tax system;
tax authorities at all levels shall carry out specific works for local development of computerised tax system properly in accordance with the overall plans, technological standards, technological plans and implementation measures of the State Administration of Taxation.

Local People's Governments at all levels shall actively support the development of computerised tax system and organise relevant departments to achieve sharing of the relevant information.

Article 5
Confidential information of taxpayers and tax withholding agents referred to in Article 8 of the Administrative Law on Tax Levying and Collection shall refer to commercial secrets and personal privacy of taxpayers and tax withholding agents. Illegal acts relating to tax collection by taxpayers and tax withholding agents shall not fall under the scope of confidentiality.

Article 6
The State Administration of Taxation shall formulate the code of conduct and service standards for tax officers.

The higher-level tax authorities which discover illegal acts relating to tax collection by the lower-level tax authorities shall promptly order for correction;
the lower-level tax authorities shall promptly make correction in accordance with the decision made by the higher-level tax authorities.

The lower-level tax authorities which discover illegal acts relating to tax collection by the higher-level tax authorities shall report to the higher-level tax authorities or the relevant department.

Article 7
Tax authorities shall grant rewards to an informant corresponding to the extent of his/her contribution and funds required for the reward shall be included in the annual budget of the tax department and approved as an individual item. The specific measures for usage of reward funds and reward standards shall be formulated by the State Administration of Taxation jointly with the Ministry of Finance.

Article 8
Tax officers shall abstain from verification of tax payable, adjustment of tax quota, tax inspection, implementation of tax administrative punishment or tax administrative review if they are related to a taxpayer or a tax withholding agent or its legal representative or directly accountable personnel in the following manner:

(1) Marital relations;

(2) Immediate blood relations;

(3) Collateral blood relations within three generations;

(4) Close matrimonial relations;
or

(5) Any other relations which may affect the impartial enforcement of laws.

Article 9
Tax institutions established in accordance with the provisions of the State Council and announced to the public as referred to in Article 14 of the Administrative Law on Tax Levying and Collection shall refer to inspection bureaux of tax bureaux below provincial level. Inspection bureaux shall specialise in investigation and prosecution of cases on tax evasion, evasion of outstanding tax, tax fraud and refusal to pay tax.

The State Administration of Taxation shall clearly segregate the duties of the tax bureaux and inspection bureaux to avoid overlap of duties.

CHAPTER 2 — TAX REGISTRATION

Article 10
The State tax bureaux and local tax bureaux shall adopt the same code for tax registration for the same taxpayer for information sharing.

The specific measures for tax registration shall be formulated by the State Administration of Taxation.

Article 11
Industrial and commercial administrative authorities at all levels shall circulate information on commencement of business, alteration and cancellation of registration and revocation of business licence to the State tax bureaux and local tax bureaux of counterpart level on a regular basis.

The specific measures for circulation of information shall be jointly formulated by the State Administration of Taxation and the State Administration for Industry and Commerce.

Article 12
Taxpayers engaging in production or business operations shall submit an application for tax registration to the tax authorities in charge at the location of production or business operations or the place of occurrence of tax payment obligation within 30 days from the date of obtaining a business licence, complete a tax registration form truthfully and provide relevant documents and materials pursuant to the requirements of the tax authorities.

Except for State agencies and individuals, taxpayers other than those stipulated in the preceding paragraph shall present the relevant documents to the tax authorities in charge at the locality to complete tax registration within 30 days from the date of occurrence of tax payment obligation.

The measures on tax registration for taxpayers of individual income tax shall be separately stipulated by the State Council.

The format of tax registration certificate shall be formulated by the State Administration of Taxation.

Article 13
A tax withholding agent shall submit an application for tax withholding registration to the tax authorities in charge at the locality within 30 days from the date of occurrence of tax withholding obligation and obtain a tax withholding registration certificate. The tax authorities may make tax withholding registration on the tax registration certificate of a tax withholding agent who has completed tax registration, and a tax withholding registration certificate shall no longer be issued.

Article 14
Where there is a change in the tax registration contents, a taxpayer shall present the relevant documents to the original tax registration authorities to complete tax registration change within 30 days from the date of processing of change registration by the industrial and commercial administrative authorities or other authorities.

In the event of a change in the tax registration contents, where the taxpayer is not required to complete registration change with the industrial and commercial administrative authorities or other authorities, the taxpayer shall present the relevant documents to the original tax registration authorities to complete tax registration change within 30 days from the date of occurrence of the changes.

Article 15
A taxpayer who has terminated its tax payment obligation pursuant to the law as a result of dissolution, bankruptcy, revocation and other circumstances shall present the relevant documents to the original tax registration authorities to complete cancellation of tax registration prior to cancellation of registration with the industrial and commercial administrative authorities or other authorities;
where the taxpayer is not required to complete registration with the industrial and commercial administrative authorities or other authorities pursuant to the provisions, the taxpayer shall present the relevant documents to the original tax registration authorities to complete cancellation of tax registration within 15 days from the date of approval by the relevant authorities or declaration for termination.

A taxpayer who involves a change of tax registration authorities due to a change in the place of residence or place of business shall complete cancellation of tax registration with the original tax registration authorities and complete tax registration with the tax authorities at the new location within 30 days prior to application for change or cancellation of registration with the industrial and commercial administrative authorities or other authorities or prior to change in the place of residence or place of business.

A taxpayer whose business licence is revoked by the industrial and commercial administrative authorities or whose registration is cancelled by other authorities shall complete cancellation of tax registration with the original tax registration authorities within 15 days from the date of revocation of business licence or cancellation of registration.

Article 16
A taxpayer shall settle tax payable, late payment fines and penalties with the tax authorities prior to cancellation of tax registration and hand over invoices, tax registration certificate and other tax documents.

Article 17
A taxpayer engaging in production or business operations shall submit a written report on all bank account numbers to the tax authorities in charge within 15 days from the date of opening a basic savings account or other savings account;
where there is any change, the taxpayer shall submit a written report to the tax authorities in charge within 15 days from the date of the changes.

Article 18
Unless otherwise stipulated that a tax registration certificate is not required to be issued, a taxpayer shall present the tax registration certificate at the time of processing the following matters:

(1) Opening of bank account;

(2) Application for tax reduction, exemption or refund;

(3) Application for extension of application or tax payment deadline;

(4) Procurement of invoices;

(5) Application for issuance of certificate of administration of tax collection for external business operations;

(6) Cessation or suspension of business;
and

(7) Any other tax-related matters.

Article 19
Tax authorities shall implement a regular verification and replacement system for tax registration certificates. Taxpayers shall present the relevant documents to the tax authorities in charge to complete verification or replacement formalities within the stipulated deadline.

Article 20
Taxpayers shall display the original copy of the tax registration certificate at the production or business premises or offices and be subject to inspection by the tax authorities.

A taxpayer who has lost the tax registration certificate shall submit a written report to the tax authorities in charge within 15 days and publish a notice in newspapers to declare the lost certificate is invalid.

Article 21
A taxpayer engaging in production or business operations who undertakes temporary production or business operations in another county (municipality) shall present the duplicate copy of the tax registration certificate and the certificate of administration of tax collection for external operations issued by the tax authorities at the locality to the tax authorities at the place of operations for inspection and registration and be subject to tax administration.

A taxpayer engaging in production or business operations who undertakes external operations at the same place for more than 180 days cumulatively shall complete tax registration formalities at the place of operations.

CHAPTER 3 — ADMINISTRATION OF ACCOUNTS BOOKS AND VOUCHERS

Article 22
A taxpayer engaging in production or business operations shall establish accounts books in accordance with the relevant provisions of the State within 15 days from the date of obtaining a business licence or occurrence of tax payment obligation.

Accounts books referred to in the preceding paragraph shall refer to general ledgers, detailed accounts, journals and other auxiliary accounts books. General ledgers and journals shall be in bound copies.

Article 23
A taxpayer who engages in small scale production or business operations and is unable to keep accounts books may appoint a professional organisation approved to undertake accounting and bookkeeping business or financial accounting personnel to prepare its accounts and handle accounting matters on behalf of the taxpayer.

Article 24
A taxpayer engaging in production or business operations shall file its financial and accounting systems or financial and accounting treatment methods with the tax authorities in charge for record within 15 days from the date of obtaining the tax registration certificate.

A taxpayer implementing computerised accounting shall file records of the accounting software, user manual and the relevant materials with the tax authorities in charge prior to implementation.

Computerised accounting systems established by taxpayers shall comply with the relevant provisions of the State and compute income or gains accurately and completely.

Article 25
A tax withholding agent shall establish accounts books on tax withholding and tax collection respectively based on the categories of tax withheld or collected within 10 days from the date of occurrence of tax withholding obligation as stipulated by the tax laws and administrative regulations.

Article 26
Where the accounting system of a taxpayer or tax withholding agent is proper and is able to compute its income and gains or taxes withheld or collected accurately and completely through the computer, the complete set of computer-generated accounting records in hard copies shall be deemed as accounts books.

Where the accounting system of a taxpayer or tax withholding agent is improper and is unable to compute its income and gains or taxes withheld or collected accurately and completely through the computer, the taxpayer or tax withholding agent shall establish a general ledger and other accounts books relating to tax payment or tax withholding and tax collection.

Article 27
Accounts books, accounting vouchers and statements shall be written in Chinese. A local common ethnic language may be used simultaneously in autonomous regions. A foreign language may be used simultaneously by foreign investment enterprises and foreign enterprises.

Article 28
Taxpayers shall install and use tax control devices in accordance with the requirements of the tax authorities and transmit the relevant data and materials as stipulated by the tax authorities.

Administrative measures for promotion and application of tax control devices shall be separately formulated by the State Administration of Taxation and implemented upon approval by the State Council.

Article 29
Accounts books, accounts vouchers, statements, tax payment certificates, receipts, export vouchers and other relevant tax-related materials shall be legitimate, true and complete.

Unless otherwise stipulated by laws and administrative regulations, accounts books, accounts vouchers, statements, tax payment certificates, receipts, export vouchers and other relevant tax-related materials shall be kept for 10 years.

CHAPTER 4 — TAX DECLARATIONS

Article 30
Tax authorities shall establish and improve upon a voluntary tax declaration and payment system for taxpayers. Taxpayers and tax withholding agents may file tax returns or submit tax withholding or collection reports by post or in electronic format.

Electronic format shall refer to telephone voice message, electronic data exchange and Internet transmission and other electronic formats determined by the tax authorities.

Article 31
Taxpayers filing tax returns by post shall use the standard designated tax declaration envelope and the post office receipt shall be the proof of declaration. The date of the postal mark shall be the actual date of declaration for postal declaration.

Taxpayers filing tax returns in electronic format shall keep the relevant materials in accordance with the timeframe and requirements stipulated by the tax authorities and submit written reports to the tax authorities in charge on a regular basis.

Article 32
Where there is no tax payable during the tax payment period, taxpayers shall file tax returns pursuant to the provisions.

Taxpayers entitled to tax reduction or exemption shall file tax returns during the tax reduction or exemption period pursuant to the provisions.

Article 33
The main contents of tax return or tax withholding or collection report filed by a taxpayer or tax withholding agent shall include: tax types, tax items, taxable items, withholding items or collection items, basis for tax computation, deductible items and standards, applicable tax rates or unit tax, tax repayable items and amount, tax items and amount of tax to be reduced or exempted, tax payable or amount of tax to be withheld or collected, tax payment deadlines, deferred tax payment, tax in arrears, late payment fines, etc.

Article 34
Taxpayers shall, at the time of filing tax returns, complete the tax declaration form truthfully and submit the following relevant documents and information correspondingly in accordance with the circumstances:

(1) Financial and accounting statements and explanatory materials thereof;

(2) Contracts, agreements and evidence relating to tax payment;

(3) Electronic tax declaration information for tax control devices;

(4) Certificates of tax revenue administration for external operations and foreign tax payment certificates;

(5) Relevant certificates issued by notary public in and outside China;
and

(6) Other relevant documents and information to be submitted as stipulated by the tax authorities.

Article 35
Tax withholding agents shall, at the time of filing tax withholding or collection reports, complete tax withholding or collection reports truthfully and submit the legitimate certificates relating to tax withholding or collection and other relevant documents and information stipulated by the tax authorities.

Article 36
Taxpayers making regular tax payments of fixed amounts may implement tax declaration and payment methods such as simple declaration, simple consolidation of levy period, etc.

Article 37
A taxpayer or tax withholding agent who has difficulty in filing a tax return or submitting a tax withholding or collection report within the stipulated deadline and requires an extension of time shall submit a written application for extension of time to the tax authorities within the stipulated deadline and file the tax return or submit the tax withholding or collection report within the approved deadline upon approval by the tax authorities.

A taxpayer or tax withholding agent who is unable to file a tax return or submit a tax withholding or collection report within the stipulated deadline due to a force majeure event may apply for an extension of time but shall submit a report to the tax authorities immediately upon cessation of the force majeure event. The tax authorities shall investigate the facts and approve accordingly.

CHAPTER 5 — TAX COLLECTION

Article 38
Tax authorities shall strengthen administration of tax collection and establish and improve upon an accountability system.

Tax authorities shall determine tax collection methods pursuant to the principles of ensuring that taxes are promptly and fully turned over to the State Treasury, providing convenience to taxpayers and reducing taxation costs.

Tax authorities shall strengthen administration of export tax refund for taxpayers;
the specific administrative measures shall be formulated by the State Administration of Taxation jointly with the relevant departments of the State Council.

Article 39
Various taxes, late payment fines and penalties shall be promptly turned over to the State Treasury by tax authorities in accordance with budget items and rankings stipulated by the State;
the tax authorities shall not seize, misappropriate and intercept and shall not turn over taxes, late payment fines and penalties to any account other than the State Treasury or tax accounts stipulated by the State.

No organisation or individual shall alter budget items and rankings arbitrarily for turning over of taxes, late payment fines and penalties to the State Treasury.

Article 40
Tax authorities shall actively promote tax payment by using cheques, bank cards and electronic settlement methods in accordance with the principles of convenience, rapidity and security.

Article 41
Taxpayers who fall under any of the following circumstances shall fall under the description of special difficulties referred to in Article 31 of the Administrative Law on Tax Levying and Collection:

(1) The occurrence of a force majeure event causes considerable loss suffered by a taxpayer or significant impact on normal production and business activities;
or

(2) Monetary funds in the current period after deduction for payment of employee wages and social insurance premium are insufficient for tax payment.

The State Administration of Taxation and local tax bureaux of municipalities with unilateral planning may approve the extension of time for tax payment by taxpayers with reference to the limit of approval authority stipulated in the 2nd paragraph of Article 31 of the Administrative Law on Tax Levying and Collection.

Article 42
Taxpayers who require an extension of time for tax payment shall submit an application prior to the tax payment deadline and submit the following materials: report on application for extension of time for tax payment, information on the balance of monetary funds in the current period and all bank statements for savings accounts, balance sheet, statement on employee wages and social insurance premium and other expenditure budgets as required to be provided by the tax authorities.

Tax authorities shall make a decision on approval or non-approval of the application within 20 days from the date of receipt of the report on application for extension of time for tax payment;
where the application is rejected, a late payment fine shall be imposed with effect from the tax payment deadline.

Article 43
Taxpayers who enjoy tax reduction or exemption incentives shall, upon expiry of the tax reduction or exemption period, resume tax payment from the day following the expiry date;
in the event of changes to the criteria for tax reduction or exemption, the taxpayer shall submit a report to the tax authorities within the tax declaration period;
taxpayers who no longer satisfy the criteria for tax reduction or exemption shall perform tax payment obligation pursuant to the law;
where tax payment is not made pursuant to the law, the tax authorities shall recover the taxes.

Article 44
Tax authorities may, pursuant to the principle of favouring control and regulation of tax collection and facilitating tax payment, entrust the relevant organisations and personnel to collect taxes paid in sporadic manner and taxes paid at another location on behalf of the tax authorities and issue a certificate of appointment of collection agent in accordance with the relevant provisions of the State. The entrusted organisations and personnel shall collect taxes in the name of the tax authorities pursuant to the law and in accordance with the requirements of the certificate of appointment of collection agent, and taxpayers shall not refuse to make payment;
where taxpayers refuse to make payment, the entrusted organisations and personnel shall promptly report to the tax authorities.

Article 45
Tax payment certificate referred to in Article 34 of the Administrative Law on Tax Levying and Collection shall refer to all types of tax payment certificates, receipts, revenue stamps, tax withholding certificates and other tax payment certificates.

No organisation or individual shall print tax payment certificates without being designated by the tax authorities. Tax payment certificates shall not be transferred, sold, altered or forged.

The format of and administrative measures on tax payment certificates shall be formulated by the State Administration of Taxation.

Article 46
Tax authorities shall issue tax payment certificates to taxpayers upon receipt of tax payment. Where taxpayers pay taxes through banks, the tax authorities may entrust the banks to issue tax payment certificates.

Article 47
Where taxpayers fall under any of the following circumstances listed in Article 35 or Article 37 of the Administrative Law on Tax Levying and Collection, the tax authorities shall have the right to adopt any of the following methods to assess tax payable:

(1) Assess with reference to the levels of tax burden by local taxpayers with similar scale of business operations and level of income involved in the same industry or similar industry;

(2) Assess based on the method of business income or cost plus reasonable amounts of expenses and profit;

(3) Assess based on computation or estimates of consumption of raw materials, fuel, power, etc;
or

(4) Assess based on other reasonable methods.

Where any one of the methods listed in the aforesaid paragraph is insufficient to accurately assess the tax payable, two or more of the above methods may be used concurrently for assessment.

Where a taxpayer has an objection to the tax payable as assessed by the tax authorities using the methods stipulated in this Article, the taxpayer shall provide the relevant evidence, and upon identification by the tax authorities, the tax payable may be adjusted.

Article 48
Tax authorities shall be responsible for assessment of credibility rating of tax payment of taxpayers. The measures for assessment of credibility rating of tax payment of taxpayers shall be formulated by the State Administration of Taxation.

Article 49.

A contractor or a lessee who has independent production or business operation rights and independent accounting for financial matters and makes regular payments of contract fees or rental to the principal or lessor shall pay taxes on the gains and income from production or business operation and be subject to tax administration, unless otherwise stipulated by laws and administrative regulations.

The principal or lessor shall submit a report on the relevant information on contractor or lessee to the tax authorities in charge within 30 days from commencement of the contract or lease. Where the principal or lessor failed to submit the report, the principal or lessor and the contractor or lessee shall be liable for tax payment jointly and severally.

Article 50
Taxpayers involved in dissolution, revocation, bankruptcy, etc shall report to the tax authorities in charge prior to liquidation. Where tax payment has not settled, the tax authorities in charge shall participate in liquidation.

Article 51
Associated enterprises referred to in Article 36 of the Administrative Law on Tax Levying and Collection shall refer to a company, enterprise or other economic organisation which has any of the following relationships:

(1) Direct or indirect ownership or control relationship over capital, operations, purchases and sales, etc;

(2) Direct or indirect ownership or control by a third party;
or

(3) Other relationships with associated mutual benefits.

Taxpayers shall be obliged provide the local tax authorities with materials relating to prices, expenditure standards, etc in respect of business transactions with associated enterprises. The specific measures shall be formulated by the State Administration of Taxation.

Article 52
Business transactions between independent enterprises referred to in Article 36 of the Administrative Law on Tax Levying and Collection shall refer to business transactions between non-associated enterprises conducted in accordance with fair trading prices and common business practices.

Article 53
Taxpayers may propose pricing principles and computation methods for business transactions with associated enterprises to the tax authorities in charge, upon review and approval, the tax authorities in charge shall supervise implementation by taxpayers of the relevant pricing matters agreed with the taxpayers beforehand.

Article 54
Where the business transactions between taxpayers and associated enterprises fall under any of the following circumstances, the tax authorities may adjust the tax payable:

(1) Purchase and sale businesses have not been priced in accordance with the business transactions between independent enterprises;

(2) Interests paid or collected on financing funds are more or less than the amount agreed between non-associated enterprises or the interest rate is more or less than the normal interest rate for similar businesses;

(3) Labour service fees for labour services provided are not collected or paid in accordance with the business transactions between independent enterprises;

(4) Fees for business transactions such as transfer of assets or provision of property use rights are not priced, collected or paid in accordance with the business transactions between independent enterprises;
or

(5) Any other circumstances for which pricing is not made in accordance with the business transactions between independent enterprises.

Article 55
Where taxpayers fall under any of the circumstances listed in Article 54 of these Regulations, the tax authorities may adjust the amount of taxable income based on the following methods:

(1) Based on the pricing for the same or similar business activities between independent enterprises;

(2) Based on the revenue and profit levels to be obtained from resale to non-associated third party;

(3) Based on the cost plus reasonable expenses and profit;
or

(4) Based on other reasonable methods.

Article 56
Where the prices and expenses relating to business transactions between taxpayers and associated enterprises are not paid in accordance with the business transactions between independent enterprises, the tax authorities shall make adjustments within three years from the tax year in which the business transactions occurred;
under special circumstances, adjustments may be made within 10 years from the tax year in which the business transactions occurred.

Article 57
Taxpayers engaging in production or business operations who failed to complete tax registration in accordance with the provisions referred to in Article 37 of the Administrative Law on Tax Levying and Collection shall include taxpayers engaging in production or business operations in other counties (municipalities) who have not completed inspection and registration with the tax authorities at the place of operations.

Article 58
A taxpayer whose commodities or goods have been confiscated by the tax authorities in accordance with the provisions of Article 37 of the Administrative Law on Tax Levying and Collection shall make tax payment within 15 days from the date of confiscation.

The tax authorities may shorten the period of confiscation stipulated in the preceding paragraph for the confiscated commodities or goods which are fresh, live, perishable or have a short expiry date pursuant to the quality guarantee period of the confiscated commodities or goods.

Article 59
Other property referred to in Articles 38 and 40 of the Administrative Law on Tax Levying and Collection shall include real estate, cash, negotiable securities and other immovable and movable property of the taxpayer.

Necessary housing and supplies for daily living of individuals and their dependent family members referred to in Article 38, Article 40 and Article 42 of the Administrative Law on Tax Levying and Collection shall not include motor vehicles, gold and silver accessories, antiques, calligraphy and paintings, luxury housing or additional housing.

Tax authorities shall not adopt preservation or mandatory enforcement measures for tax collection in respect of other daily necessities with a unit price of less than RMB5,000.

Article 60
The dependent family member of an individual referred to in Article 38, Article 40 and Article 42 of the Administrative Law on Tax Levying and Collection shall refer to the spouse and immediate relatives who live with the taxpayer together and other relatives who do not hold sources of income and are supported by the taxpayer.

Article 61
Guarantee referred to in Article 38 and Article 88 of the Administrative Law on Tax Levying and Collection shall include a tax payment guarantee provided by a tax payment guarantor approved by the tax authorities for the taxpayer and a guarantee provided by the taxpayer or a third party with such property for which security interests have not been established or have not been established wholly.

A tax payment guarantor shall refer to a natural person, legal person or other economic organisation in China with the ability to provide a tax payment guarantee.

Organisations or individuals stipulated by laws or administrative regulations as not qualified to act as a guarantor shall not act as tax payment guarantors.

Article 62
A tax payment guarantor who agrees to provide tax payment guarantee for a taxpayer shall complete a tax payment guarantee statement, stating the subject, scope and duration of guarantee, guarantee liability and other relevant matters. The guarantee statement shall only be valid upon execution and affixation of seals by the taxpayer and the tax payment guarantor and approval by the tax authorities.

Where a property is provided for the purpose of tax payment guarantee by a taxpayer or a third party, a list of the property shall be completed, specifying the value of the property and other relevant matters. The list of property for tax payment guarantee shall only be valid upon execution and affixation of seals by the taxpayer and the third party and authentication by the tax authorities.

Article 63
Confiscation and seizure of commodities, goods or other property by tax authorities shall be enforced by two or more tax officers and the owner shall be notified. Where the owner is a natural person, the owner or an adult family member of the owner shall be notified to be present;
where the owner is a legal person or an organisation, the legal representative or the key person-in-charge shall be notified to be present;
absence of such persons shall not affect the enforcement.

Article 64
In the event of enforcement by the tax authorities in accordance with the provisions of Article 37, Article 38 and Article 40 of the Administrative Law on Tax Levying and Collection in respect of confiscation or seizure of commodities, goods or other property for which their values are equivalent to the tax payable, the value of the commodities, goods or property shall be estimated with reference to the market price, ex-factory price or assessed price of similar commodities.

At the time of determination of the value of commodities, goods or other property to be confiscated or seized in accordance with the methods in the preceding paragraph, the tax authorities shall also include late payment fines and other expenses incurred for auction and sale of such commodities, goods or other property.

Article 65
Tax authorities may confiscate, seize and auction the entire commodities, goods or other property for which the value of inseparable commodities, goods or other property exceeds the tax payable under the circumstances that the taxpayer, tax withholding agent or tax payment guarantor does not have other property which can be enforced mandatorily.

Article 66
In the event of enforcement by the tax authorities in accordance with the provisions of Article 37, Article 38 and Article 40 of the Administrative Law on Tax Levying and Collection in respect of confiscation or seizure of movable or immovable property with ownership certificates, the tax authorities may order the owner to submit the ownership certificates to the tax authorities for custody, and may issue a notice on assistance for enforcement to the relevant authorities concurrently. The relevant authorities shall no longer be required to complete transfer formalities for the movable or immovable property during the period of confiscation and seizure.

Article 67
Tax authorities may order the owner to be responsible for safekeeping of the seized commodities, goods or other property, and the owner shall bear custody liability.

Tax authorities may allow the owner to continue using the seized property for which its value is not reduced;
the owner shall be liable for losses caused due to an error in custody or use of the property by the owner.

Article 68
Where the taxpayer makes tax payment within the deadline stipulated by the tax authorities upon adoption of preservation measures for tax collection by the tax authorities, the tax authorities shall remove the preservation measures on the day following the date of receipt of tax payment or tax payment certificate forwarded by the bank.

Article 69
Tax authorities shall entrust an auction house established pursuant to the law to auction the commodities, goods or other property confiscated and seized and use the proceeds from auction to offset the tax payment;
where an auction is unable to be entrusted or is inappropriate, a local commercial enterprise may be entrusted to sell the property on behalf of the taxpayer may be ordered to dispose the property within a stipulated deadline;
where a commercial enterprise is unable to be entrusted to sell the property and the taxpayer is unable to dispose the property, the tax authorities may dispose the property at its current value;
the specific measures shall be stipulated by the State Administration of Taxation. Commodities which are prohibited from free trading by the State shall be purchased by the relevant organisations at prices stipulated by the State.

The balance amount of proceeds from auction or sale of property upon offsetting of payment of taxes, late payment fines or penalties and expenses incurred from auction or sale of property shall be returned to the owner within 3 days.

Article 70
Losses referred to in Article 39 and Article 43 of the Administrative Law on Tax Levying and Collection shall refer to direct losses incurred by taxpayers, tax withholding agents or tax payment guarantors in respect of their legitimate interests due to the liability of the tax authorities.

Article 71
Other financial institutions referred to in the Administrative Law on Tax Levying and Collection shall refer to trust and investment companies, credit cooperatives, postal savings organisations and other financial institutions established with approval of the People's Bank of China or China Securities Regulatory Commission, etc.

Article 72
Deposits referred to in the Administrative Law on Tax Levying and Collection shall include savings deposits of investors in wholly-owned enterprises, partners in partnership enterprises and individually-owned businesses and funds in shareholders' fund accounts, etc.

Article 73
Where a taxpayer or tax withholding agent engaging in production or business operations failed to pay tax or withhold or collect taxes within the stipulated deadline or where the tax payment guarantor failed to make a tax payment guarantee within the stipulated deadline, the tax authorities shall issue a notice of tax payment within the stipulated deadline, and order that the maximum tax payment or withholding period shall not exceed 15 days.

Article 74
Where a taxpayer or its legal representative for which the taxes are in arrears failed to settle the tax payable and late payment fines or failed to provide a tax payment guarantee pursuant to the provisions prior to leaving China, the tax authorities may notify the embarkation and disembarkation administrative authorities to stop such person from departure. The specific measures on stopping of departure shall be formulated by the State Administration of Taxation jointly with the Ministry of Public Security.

Article 75
The payment deadline for late payment fines stipulated in Article 32 of the Administrative Law on Tax Levying and Collection shall commence on the day following the expiry of the tax payment period stipulated by laws and administrative regulations or determined by the tax authorities in accordance with the provisions of laws and administrative regulations up to the date of actual tax payment or withholding by the taxpayer or tax withholding agent.

Article 76
All levels of tax authorities of county level and above shall announce information on tax in arrears of taxpayers at the tax office or on radio or television or in newspapers or periodicals or via the Internet or other news media on a regular basis.

The measures for implementation of regular announcements on information on tax in arrears shall be formulated by the State Administration of Taxation.

Article 77
Relatively large amount of taxes in arrears referred to in Article 49 of the Administrative Law on Tax Levying and Collection shall refer to taxes in arrears of RMB50,000 and above.

Article 78
Tax authorities which discover that the taxpayer has made excess tax payment shall complete tax refund formalities within 10 days from the date of discovery;
where the taxpayer discovers that he/she has made excess tax payment and requested for tax refund, the tax authorities shall verify and complete tax refund formalities within 30 days from the date of receipt of an refund application by the taxpayer.

The refund of excess tax paid which is inclusive of bank deposit interest for the same period referred to in Article 51 of the Administrative Law on Tax Levying and Collection shall exclude settlement tax refund, export tax refund and various tax reduction, exemption and refund arising from prepayment of taxes pursuant to the law.

Interests on tax refund shall be computed based on the current deposit interest rate stipulated by the People's Bank of China on the date of tax refund by tax authorities.

Article 79
Where a taxpayer has both the tax to be refunded and tax in arrears, the tax authorities may offset the tax to be refunded and interest against the tax in arrears;
the balance upon offsetting shall be refunded to the taxpayer.

Article 80
Liability of tax authorities referred to in Article 52 of the Administrative Law on Tax Levying and Collection shall refer to inappropriate application of tax laws or administrative regulations or illegal law enforcement by tax authorities.

Article 81
Errors such as miscalculations by taxpayers or tax withholding agents referred to in Article 52 of the Administrative Law on Tax Levying and Collection shall refer to unintentional misapplication of computation formulae and apparent typos.

Article 82
Special circumstances referred to in Article 52 of the Administrative Law on Tax Levying and Collection shall refer to non-payment or under-payment of taxes, non-withholding or under-withholding of taxes, non-collection or under-collection of taxes by taxpayers or tax withholding agents due to errors such as miscalculations, etc in which the cumulative amount exceeds RMB100,000.

Article 83
The deadline for retrospective payment of taxes and recovering tax and late payment fines referred to in Article 52 of the Administrative Law on Tax Levying and Collection shall commence on the date on which taxpayers or tax withholding agents failed to make tax payment that should be made or make under-payment of tax.

Article 84
The decisions made during an audit or inspection pursuant to the law by the audit authorities and financial authorities on illegal tax collection by the tax authorities shall be enforced by the tax authorities;
where an organisation subject to audit and inspection is found to have committed illegal tax collection, the audit authorities and financial authorities shall issue a decision and letter of opinion to the organisation subject to audit and inspection and order the organisation subject to audit and inspection to pay taxes that should be paid and late payment fines to the tax authorities. The tax authorities shall turn over the taxes to be collected and late payment fines to the State treasury pursuant to the scope of administration of tax collection and budget rankings in respect of turning over taxes to the State treasury stipulated by the State, based on the decision and letter of opinion of the relevant authorities and in accordance with the provisions of tax laws and administrative regulations.

Tax authorities shall reply to the audit authorities and financial authorities in writing in respect of the status of implementation within 30 days from the date of receipt of the decision and letter of opinion from the audit authorities and financial authorities.

The relevant authorities shall not collect and turn over the taxes or late payment fines discovered in the course of performance of duties to the State treasury or dispose or occupy the taxes or late payment fines in the name of other funds.

CHAPTER 6 — TAX INSPECTION

Article 85
Tax authorities shall establish scientific inspection systems, make overall plans for inspections and strictly control the number of inspections of taxpayers and tax withholding agents.

Tax authorities shall formulate rational rules for tax inspection, define duties of personnel responsible for case selection, inspection, adjudication and enforcement and achieve mutual separation and mutual restraint and standardise case selection procedures and conduct of inspection.

The specific measures for tax inspection shall be formulated by the State Administration of Taxation.

Article 86
Tax authorities may exercise their powers stipulated in item (1) of Article 54 of the Administrative Law on Tax Levying and Collection at the business premises of taxpayers or tax withholding agents;
where necessary, upon approval by a tax bureau (sub-bureau) chief at county level or above, the accounts books, accounting records, statements and other relevant information of the previous accounting years of taxpayers or tax withholding agents may be repatriated to the tax authorities for inspection, provided that the tax authorities shall provide taxpayers or tax withholding agents with a list of documents received and return such documents completely within three months;
under special circumstances, upon approval by a tax bureau chief at the level of municipalities divided into districts and autonomous prefectures or above, the tax authorities may repatriate the accounts books, accounting records, statements and other relevant information of the current year of taxpayers or tax withholding agents for inspection, provided that the tax authorities shall return such documents within 30 days.

Article 87
Tax authorities shall designate specific personnel to be in charge of exercising their powers stipulated in item (6) of Article 54 of the Administrative Law on Tax Levying and Collection by presenting the nationwide unified permit for inspection of savings accounts and be liable for keeping confidentiality for the persons under inspection.

The permit for inspection of savings accounts shall be formulated by the State Administration of Taxation.

The contents of enquiry by the tax authorities shall include information on balance and fund transactions of savings accounts of taxpayers.

Article 88
The period for preservation measures for tax collection adopted by the tax authorities in accordance with the provisions of Article 55 of the Administrative Law on Tax Levying and Collection shall generally not exceed six months;
where there is a need for extension of period for any major case, the approval by the State Administration of Taxation shall be obtained.

Article 89
Tax authorities and tax officers shall exercise their powers of tax inspection in accordance with the provisions of the Administrative Law on Tax Levying and Collection and these Regulations.

Tax officers shall present the tax inspection certificate and the notice on tax inspection during tax inspections;
where the tax inspection certificate and the notice on tax inspection are not presented, the taxpayers, tax withholding agents and other parties concerned shall have the right to refuse inspection. The tax authorities may use a standard notice on tax inspection for bazaars and business operators with centralised management during the inspection.

The format of the tax inspection certificate and the notice on tax inspection and the specific measures on application and administration shall be formulated by the State Administration of Taxation.

CHAPTER 7 — LEGAL LIABILITY

Article 90
Taxpayers who failed to complete formalities for examination or replacement of tax registration certificates in accordance with the provisions shall be ordered by the tax authorities to make correction within a stipulated deadline and may be imposed with a fine of not more than RMB2,000;
where a case is serious, a fine ranging from RMB2,000 to RMB10,000 shall be imposed.

Article 91
Persons guilty of illegal printing, transfer, sale, alteration or forging of tax payment certificates shall be ordered by the tax authorities to make correction and imposed with a fine ranging from RMB2,000 to RMB10,000;
where the case is serious, a fine ranging from RMB10,000 to RMB50,000 shall be imposed;
where a case constitutes a criminal offence, criminal liability shall be pursued in accordance with the law.

Article 92
Banks and other financial institutions which failed to record tax registration certificate numbers in the accounts of taxpayers engaging in production or business operations in accordance with the provisions of the Administrative Law on Tax Levying and Collection or failed to record the account numbers of taxpayers engaging in production or business operations on tax registration certificates in accordance with the provisions shall be ordered by the tax authorities to make correction within a stipulated deadline and imposed with a fine ranging from RMB2,000 to RMB20,000;
where the case is serious, a fine ranging from RMB20,000 to RMB50,000 shall be imposed.

Article 93
Persons who illegally provide taxpayers or tax withholding agents with bank accounts, invoices, certificates or other assistance to facilitate non-payment or under-payment of taxes or fraudulent obtaining of State export tax refund may, in addition to confiscation of illegal income by the tax authorities, be imposed with a fine of not more than one time the amount of unpaid taxes, under-paid taxes or defrauded taxes.

Article 94
Where taxpayers refuse withholding or collection of taxes, tax withholding agents shall report to the tax authorities, the tax authorities shall directly recover the taxes and late payment fines from taxpayers;
taxpayers who refuse to pay taxes shall be dealt with in accordance with the provisions of Article 68 of the Administrative Law on Tax Levying and Collection.

Article 95
When the tax authorities are conducting inspection at stations, piers, airports, postal services enterprises and their branches on the relevant information of taxpayers in accordance with the provisions of item (5) of Article 54 of the Administrative Law on Tax Levying and Collection, where the relevant organisations refuse the inspection, the tax authorities shall order for correction and may impose a fine of not more than RMB10,000;
where the case is serious, a fine ranging from RMB10,000 to RMB50,000 shall be imposed.

Article 96
Taxpayers or tax withholding agents who fall under any of the following circumstances shall be punished in accordance with the provisions of Article 70 of the Administrative Law on Tax Levying and Collection:

(1) Provide false materials which do not reflect the true circumstances or refuse to provide the relevant materials;

(2) Refuse or obstruct recording, audio recording, video recording, photographing and replicating of information and materials relating to a case by the tax authorities;

(3) Transfer, conceal or destroy the relevant materials by the taxpayer or tax withholding agent during the inspection period;
or

(4) Any other circumstances for which tax inspection is not accepted pursuant to the law.

Article 97
Where tax officers divide the confiscated or seized commodities, goods or any other property illegally, the case is serious and constitutes a criminal offence, criminal liability shall be pursued in accordance with the law;
where the case does not constitute a criminal offence, administrative punishment shall be imposed pursuant to the law.

Article 98
Tax agents who violate tax laws and administrative regulations and cause non-payment or under-payment of taxes by taxpayers shall be imposed with a fine ranging from 50% to 300% of the amount of unpaid or under-paid taxes by the taxpayer and the taxpayer shall pay or make retrospective payment of the tax payable and late payment fines.

Article 99
Tax authorities shall issue receipts for fines and certificates of confiscation for fines imposed on or illegal income confiscated from taxpayers, tax withholding agents and other parties concerned;
where no receipts for fines or certificates of confiscation are issued, taxpayers, tax withholding agents and other parties concerned shall have the right to refuse to pay.

Article 100
Tax payment disputes referred to in Article 88 of the Administrative Law on Tax Levying and Collection shall refer to disputes arising from objection by taxpayers, tax withholding agents or tax payment guarantors to the subject, target and scope of tax collection, tax reduction, exemption and refund, applicable tax rate, tax computation basis, tax sector, tax payment deadline, location and methods of tax collection and other specific administrative acts determined by the tax authorities.

CHAPTER 8 — SERVICE OF DOCUMENTS

Article 101
The tax documents served by the tax authorities shall be delivered directly to the party being served.

Where the party being served is a citizen, he/she shall sign and receive the tax documents personally;
the documents shall be signed and received by an adult family member living with the party being served together in his/her absence.

Where the party being served is a legal person or an organisation, the legal representative of the legal person or the key person-in-charge of the organisation or the person-in-charge of finance or persons responsible for receipt of documents of the legal person or organisation shall sign and receive the tax documents. Where the party being served has an agent, the agent may sign and receive the document.

Article 102
An acknowledgement of service shall be required for service of tax documents and the party being served or other person signing and receiving the document stipulated in these Regulations shall record the date of receipt on the acknowledgement of service and sign or affix seal on the acknowledgement of service. The document shall be deemed served upon signing and affixation of seal on the acknowledgement of service.

Article 103
Where the party being served or other person signing and receiving the document stipulated in these Regulations refuses to sign and receive a tax document, the person serving the document shall record the reason for refusal and the date on the acknowledgement of service and sign or affix seal on the acknowledgement of service with a witness;
the tax documents left at the place of the party being served shall be deemed served.

Article 104
Where there is difficulty in direct service of tax document, the relevant organisation or other unit may be entrusted to serve the document on behalf or the document may be served by post.

Article 105
Where the tax documents are served directly or via entrustment, the date of service shall be the date of signature on the acknowledgement of service by the person signing and receiving the document or the witness or the date of receipt of document indicated on the acknowledgement of service;
where the tax documents are served by post, the date of service shall be the date of receipt of documents indicated on the receipt of the registered post, and the documents shall be deemed served.

Article 106
Under any of the following circumstances, the tax authorities may serve the tax documents via public announcements and the documents shall be deemed served 30 days from the date of the public announcement:

(1) The document is to be served on multiple parties being served;
or

(2) The document cannot be served through any other methods of service stipulated in this Chapter.

Article 107
The format of tax documents shall be formulated by the State Administration of Taxation. Tax documents referred to in these Regulations shall include:

(1) Notice of tax items;

(2) Notice of order for correction within a stipulated deadline;

(3) Decision on preservation measures for tax collection;

(4) Decision on mandatory enforcement of tax collection;

(5) Notice of tax inspection;

(6) Decision on tax treatment;

(7) Decision on tax administrative punishment;

(8) Decision on administrative reviews;
and

(9) Other tax documents.

CHAPTER 9 — SUPPLEMENTARY PROVISIONS

Article 108
The terms "above", "below", "within", and "expiry" referred to in the Administrative Law on Tax Levying and Collection and these Regulations shall include the numeral referred thereto.

Article 109
Where the last day of the deadline stipulated in the Administrative Law on Tax Levying and Collection and these Regulations falls on a statutory public holiday, the following day of the public holiday shall be the last day of the deadline;
where there are three or more consecutive days of statutory public holiday within the deadline, an extension shall be granted in accordance with the number of statutory public holidays.

Article 110
Handling fees for tax withholding and collection stipulated in the 3rd paragraph of Article 30 of the Administrative Law on Tax Levying and Collection which are included in budget administration shall be paid to the tax withholding agents by the tax authorities in accordance with the provisions of laws and administrative regulations.

Article 111
The measures on entrustment of tax agents by taxpayers and tax withholding agents to handle tax matters on their behalf shall be stipulated by the State Administration of Taxation.

Article 112
Administration of levying and collection of arable land occupation tax, deed tax, agricultural tax and husbandry tax shall be implemented in accordance with the relevant provisions of the State Council.

Article 113
These Regulations shall be effective 15 October 2002. The Implementation Regulations for the Law of the People's Republic of China on Administration of Tax Collection promulgated by the State Council on 4 August 1993 shall be repealed simultaneously.