According to the Notice of the Ministry of Finance of People's Republic of China (PRC), State Taxation Administration of The People's Republic of China, on Several Policy Issues concerning Business Tax (Caishui [2003] 16), business tax is levied at the rate of 20% on the income obtained by units and individuals from setting up "Internet cafes"; At the same time, it is necessary to attach urban construction tax (5% of business tax), education surcharge (3% of business tax), local education surcharge (1% of business tax) and water conservancy construction fund (six ten thousandths of turnover); In addition, individual income tax (2% of turnover) should also be levied on individual industrial and commercial households.