Yes, for the following reasons:

After the reform of the camp, 6% value-added tax is levied on financial services, so 6% value-added tax is levied on loan interest income as a traditional business, but the lender cannot deduct the input tax. This will obviously break the deduction chain, because the value-added tax involved in loan interest cannot be transmitted to the lender through the value-added tax chain, so the generated value-added tax will be borne by the creditors, resulting in tax precipitation.

At present, in order to maintain economic stability, financial supervision does not allow financial institutions to adjust prices at will. Therefore, in fact, it is difficult to transfer the tax to the lender, but the financial institution will bear it, which will obviously increase the tax burden of financial institutions. However, some traditional manufacturing industries in China are in the transition period, and there are certain difficulties in economic operation, so it is not appropriate to increase the financing cost of enterprises. Therefore, no matter from the perspective of market acceptance or supporting the real economy, it is not appropriate to increase the financing cost of enterprises. The tax assumption is borne by the lender but cannot be deducted, which will obviously increase the financing cost of the enterprise.

Even without financial supervision, interest value-added tax can be passed on to debtors by financial institutions through price-tax linkage, which may not be successful, because China has passed the era of high financing costs, and the rapid rise of industrial finance at present means that the market competition of financial institutions is more intense. In such an environment, no financial institution can raise prices at will and pass on the tax burden. Therefore, the problem that interest is taxed but not allowed to be deducted has become the biggest problem in financial reform.

Collection range

General scope

The scope of taxation of value-added tax includes the sale (including import) of goods and the provision of processing, repair and replacement services.

Special project

Commodity futures (including commodity futures and precious metal futures); -Commodity futures are subject to value-added tax, which is paid in the physical delivery;

The business of selling gold and silver by banks;

Pawnshops sell dead goods;

Consignment business is the business of customers selling consignment goods;

Other units and individuals outside the postal department produce, distribute and sell philatelic products.

2. Can a special VAT invoice be issued for the interest income from bank loans?

1. The input VAT amount of interest cannot be deducted from the output VAT amount.

2. Relevant regulations: The provisions of the Pilot Implementation Measures for Changing Business Tax to Value-added Tax (Caishui [2016] No.36) on related matters: Taxpayers generally use the original tax amount when purchasing services, intangible assets or real estate, and the input tax amount of the following items shall not be deducted from the output tax amount: (6) purchased passenger services, loan services, catering services, daily services of residents and entertainment services. Interest belongs to loan service.

3. Can I issue a special VAT invoice for interest?

Interest is a kind of income in financial services. According to the regulations of the State Administration of Taxation, the interest income provided by banks, securities, insurance and other financial institutions is one of the VAT exemption items. Therefore, these institutions do not need to pay VAT when charging interest to customers.

As the interest itself has been regarded as an item exempted from VAT, it is generally impossible to issue a special VAT invoice. However, there may be exceptions in some special circumstances (such as financial settlement or other related matters). If you need to issue a special VAT invoice, please consult the local authorities or relevant professionals for more accurate and detailed information.