Legal basis: Measures for the Administration of Tax Registration
Article 19 If a taxpayer who implements the method of regular fixed-rate collection needs to suspend business within the business period approved by the business license, it shall go through the business suspension registration with the tax authorities, explain the reasons and time of business suspension, the tax payment before business suspension, and the receipt, use and custody of invoices, and truthfully fill out the business suspension application registration form.
Article 20 After examination (on-the-spot examination if necessary), the tax authorities shall instruct taxpayers who apply for suspension of business to settle their taxes, recover their tax registration certificates, invoice purchase books and invoices, and handle the registration of suspension of business. If the taxpayer's invoice is inconvenient to recover, the tax authorities shall seal it up on the spot.
Article 21 If a taxpayer is approved to suspend business for more than 15 days, the tax authorities shall adjust the approved tax payable accordingly. The time limit or amount of specific adjustment shall be determined by the tax authorities of provinces, autonomous regions and municipalities directly under the Central Government.
Article 22 Taxpayers who have the obligation to pay taxes during the period of suspension of business shall report to the competent tax authorities in time and pay back the tax payable according to law.
Article 23 Before resuming production and business operations, taxpayers shall apply to the tax authorities for resumption of business registration, go through the formalities of resumption of business registration after confirmation, and withdraw or activate the tax registration certificate, invoice purchase book and invoice purchase, and bring them into normal management. If a taxpayer fails to resume production and operation in time after the expiration of business suspension, it shall go through the extension of business suspension registration with the tax authorities before the expiration of business suspension. If the taxpayer fails to resume business on schedule and fails to apply for an extension of business suspension, the tax authorities shall regard it as resuming business and implement normal tax collection and management.