China implements * * * value-added tax. According to the sales of goods or services, the sales tax is calculated at the prescribed tax rate, and then the value-added tax paid when obtaining goods or services is deducted, that is, the input tax. The difference is the taxable amount of the value-added part. This calculation method embodies the principle of taxation according to value-added factors.
Extended data
According to the different deduction methods of purchased fixed assets, value-added tax can be divided into:
Production value-added tax
Productive value-added tax means that when collecting value-added tax, only the part of the means of production belonging to non-fixed assets can be deducted, and the tax included in the value of fixed assets is not allowed to be deducted. The tax object of this kind of value-added tax is roughly equivalent to GDP, so it is called production value-added tax.
Income vat
Income-based value-added tax means that when collecting value-added tax, only the tax included in the depreciation part of fixed assets is allowed to be deducted, and the depreciation part is not included in the deduction. The tax object of this kind of value-added tax is roughly equivalent to national income, so it is called income-based value-added tax.
Consumption value-added tax
Consumer value-added tax means that when collecting value-added tax, all taxes included in the value of fixed assets are allowed to be deducted at one time. In this way, as far as the whole society is concerned, the means of production are excluded from the scope of taxation. The tax object of this kind of value-added tax is only equivalent to the value of social consumption materials, so it is called consumption value-added tax. From June 5438+1 October1in 2009, China has implemented consumption-oriented value-added tax in various regions of the country.
The collection of value-added tax usually includes all links in the production, circulation or consumption process. It is a neutral tax based on value-added or price difference. Theoretically, it includes all agricultural industries (planting, forestry and animal husbandry), mining, manufacturing, construction, transportation and commercial services. Or all links of raw material procurement, manufacturing, wholesale, retail and consumption.
Sales tax belongs to regressive tax, which is an indirect tax based on the value-added of goods or services. It is called Goods and Services Tax (GST) in Australia, Canada, New Zealand and Singapore, and consumption tax in Japan. Value-added tax was invented by French economist Maurice Laurie in 1954, and 45% of the French government's income comes from value-added tax.
VAT-Baidu Encyclopedia