Provisional regulations of the people's republic of china on consumption tax

Article 1 

　　All units and individuals engaged in the production, subcontracting for processing or the importation of consumer goods prescribed by these Regulations (hereinafter referred to as 'taxable consumer goods') within the territory of the People's Republic of China are taxpayers of Consumption Tax (hereinafter referred to as  'taxpayers') and shall pay Consumption Tax in accordance with these Regulations. 

Article 2 

　　The taxable items, tax rates (tax amounts) of Consumption Tax shall be determined in accordance with the  attached to these Regulations. 

　　Any adjustments to the Consumption Tax taxable items, tax rates (tax amounts) shall be determined by the State Council. 

Article 3 

　　For taxpayers dealing in taxable consumer goods with different tax rates, the sales amounts and sales volumes for the taxable consumer goods shall be accounted for separately. If the sales amounts and sales volumes have not been accounted for separately or if the taxable consumer goods with different tax rates are combined into a whole set of consumer goods for sales, the higher tax rate shall apply. 

Article 4 

　　Taxable consumer goods produced by the taxpayer shall be subject to tax upon sales.   For self-produced taxable consumer goods for the taxpayer's own use in the continuous production of taxable consumer goods, no tax shall be assessed; tax shall be assessed when the goods are transferred for other use. 

　　For taxable consumer goods sub-contracted for processing, the tax shall be collected and paid by the sub-contractor upon delivery to the contractor. For taxable consumer goods, sub-contracted for processing used by the contractor for the continuous production of taxable consumer goods, the tax paid can be credited in accordance with the regulations. 

　　Imported taxable consumer goods shall be subject to tax upon import declaration.