Article 2 of the revised Provisional Regulations of People's Republic of China (PRC) on Value-added Tax:
(1) Taxpayers selling or importing goods, except as provided in Items (2) and (3) of this Article, shall pay a tax rate of 17%.
(2) The taxpayer sells or imports the following goods at the tax rate of 13%:
1. cereals and edible vegetable oils;
2 tap water, heating, air conditioning, hot water, gas, liquefied petroleum gas, natural gas, biogas and coal products for residents;
3. Books, newspapers and magazines;
4. Feeds, fertilizers, pesticides, agricultural machinery and plastic films;
5. Other goods specified by the State Council.
(3) taxpayers export goods at zero tax rate; However, unless otherwise stipulated by the State Council.
(4) Taxpayers provide processing, repair and replacement services (hereinafter referred to as taxable services), and the tax rate is 17%.
The goods mentioned in Article 2 of the Detailed Rules for the Implementation of the Provisional Regulations of the People's Republic of China on Value-added Tax refer to tangible movable property, including electricity, heat and gas.