Among the different forms of capital appreciation obtained by equity investment funds operating equity investment business, project dividends and dividend income belong to dividend income, not to the scope of value-added tax; It is not within the scope of value-added tax to extract income from projects by means of non-listed equity transfer such as mergers and acquisitions or repurchase; If the project exits through the secondary market after listing, it needs to pay VAT according to the requirements of the tax authorities.

From the perspective of fund investors, the distribution that investors of company funds get from company funds as shareholders is the distribution of after-tax profits of the company. Therefore, when the investor is a company, it can be exempted from tax in the form of dividends. Natural person investors have to pay dividend income tax (the applicable tax rate is 20%), which is withheld and remitted by the fund, so they have to bear double taxation (enterprise income tax and personal income tax).