VAT refund policy

Tax refund is to return the tax amount that has not been deducted at the end of VAT to the taxpayer. The value-added tax adopts the chain deduction mechanism, and the tax payable is the balance of the taxpayer's current output tax after deducting the input tax. In the cover code, the output tax refers to the value-added tax calculated according to the sales volume and the applicable tax rate; Input tax refers to the value-added tax paid for purchasing raw materials. When the input tax amount is greater than the output tax amount, the input tax amount that is not deducted will form a tax deduction.

The tax exemption is mainly caused by the inconsistency between the taxpayer's input tax and the output tax, such as the centralized procurement of raw materials and inventory, which have not yet been fully sold; No income during the investment period, etc. In addition, in the case of multiple tax rates, the applicable tax rate of sales is lower than the applicable tax rate of input, which will also form a tax credit.

There are generally two ways to deal with tax allowance internationally: allowing taxpayers to carry forward the next period to continue to deduct or apply for tax refund in the current period. At the same time, countries or regions that allow tax refund will also set stricter tax refund conditions accordingly, such as the tax allowance must reach a certain amount; You can only apply for a tax refund once a year or a period of time; Only certain industries are allowed to apply for tax refund.

Since 20 19, China has gradually established an incremental VAT refund system. This year, we improved the VAT refund system, optimized the collection and tax refund process, implemented a large-scale tax refund for the remaining tax, and returned the input tax that taxpayers can continue to deduct in advance. Give priority to supporting small and micro enterprises, and refund the stock tax allowance of small and micro enterprises in one lump sum and the incremental tax allowance in full before the end of June. Focus on supporting the manufacturing industry, and comprehensively solve the problem of tax refund for manufacturing, scientific research and technical services, ecological and environmental protection, electricity and gas, transportation, software and information technology services. By returning the tax that has not been deducted in advance, it will directly provide about10.5 trillion yuan of cash flow to market players, increase the cash flow of enterprises, and ease the pressure of withdrawing funds, which will not only enhance the confidence of enterprises and stimulate the vitality of market players, but also promote consumer investment, support the high-quality development of the real economy, and promote industrial transformation and upgrading and structural optimization.