Waste electrical and electronic products processing fund is a government fund established by the state to promote the recycling of waste electrical and electronic products. According to the Measures for the Administration of Collection and Use of Waste Electrical and Electronic Products Disposal Fund, the fund will be turned over to the central treasury in full, incorporated into the budget management of central government funds, earmarked for special purposes, and the year-end balance will be carried forward to the next year for continued use.

Value-added tax is a tax levied by the China government on the value-added part of goods and services. Payer, collection scope, collection standard, collection unit, declaration time, reduction and exemption regulations, collection management, etc. of waste electrical and electronic products. The management measures for the collection and use of waste electrical and electronic products disposal funds clearly stipulates the types of disposal funds.