The following services and intangible assets provided by domestic units and individuals to overseas units completely in consumption abroad are exempt from VAT, except that the VAT rate stipulated by the Ministry of Finance of People's Republic of China (PRC) and State Taxation Administration of The People's Republic of China is zero.
Telecommunication service;
2. Intellectual property services;
3. Logistics auxiliary services (except warehousing services and receiving and dispatching services);
4. Forensic consulting services
5. Professional technical services;
6. Business auxiliary services;
7. Advertising services for placing advertisements overseas;
8. Intangible assets.
The term "completely in consumption abroad" as mentioned in these Provisions refers to:
(1) The actual recipient of the service is overseas and has nothing to do with domestic goods and real estate.
(2) Intangible assets are completely used abroad and have nothing to do with domestic goods and real estate.
(3) Other circumstances stipulated by the Ministry of Finance of People's Republic of China (PRC) and State Taxation Administration of The People's Republic of China.
According to the above provisions, if domestic enterprises provide consulting services to overseas enterprises, and the clients are overseas units, and the consulting services have nothing to do with domestic goods and real estate, and belong to consulting services in consumption abroad, the VAT exemption policy can be applied.
Extended data:
I. VAT exemption policy
1. Legal items are tax-free. According to Article 15 of the Provisional Regulations on Value-added Tax, the following items are exempt from value-added tax:
(1) Self-produced primary agricultural products sold by agricultural producers;
(2) Contraceptive drugs and devices;
(3) Old books purchased from the society;
(4) Imported instruments and equipment directly used for scientific research, scientific experiments and teaching;
(5) Imported materials and equipment provided free of charge by foreign governments and international organizations;
(six) organizations for the disabled directly import articles for the disabled;
(7) selling articles for personal use.
2. Other tax-free items
(1) selling reclaimed water; Tire powder produced with waste tires as all raw materials; Refurbishing tires; Sewage treatment service (Caishui [2008] 156);
(2) Production, sale, wholesale and retail of organic fertilizer (Caishui [2008] No.56);
(3) Farmers' cooperatives sell self-produced agricultural products (Caishui [2008] No.81);
(4) Agricultural films, agricultural machinery, fertilizers, pesticides, seeds and seedlings sold by farmers' cooperatives to their members (Caishui [2008] No.81);
3. For goods or services that are not taxed, according to the relevant provisions of China's value-added tax, the following items are not subject to value-added tax:
(1) supply or exploit untreated natural water (e.g. reservoirs supply agricultural irrigation water and factories use groundwater for production) (Guo Shui Fa [1993] 154);
(2) Free vaccination allocated or distributed by health and epidemic prevention stations and undertaken by the government (Guo [1999]191);
Articles for the army, troops and military police (Caishuizi [1994No. 1 1);
Articles for the disabled (Caishuizi [1994] No.60);
(5) Rural power grid maintenance fee (Caishuizi [1998] No.47);
(6) Postal departments and philatelic companies sell philatelic products (Guo Shui Fa [1995] No.76);
(seven) the purchase of goods that meet the following conditions, no value-added tax (Caishuizi [1994] No.26):
(a) the trustee does not advance funds;
② The seller issues the invoice to the entrusting party, and the entrusted party forwards the invoice to the entrusting party;
(3) The Consignee shall settle the payment with the Consignor according to the sales output tax actually collected by the Seller, and collect the handling fee.
The provisions of zero VAT rate and tax exemption policy are applicable to cross-border taxable behavior.
State Taxation Administration of The People's Republic of China, People's Republic of China (PRC)-State Taxation Administration of The People's Republic of China, People's Republic of China (PRC) on the exemption of small-scale taxpayers from value-added tax