Key points of examination of tax-related clauses in contracts

When we review the tax-related clauses of the contract, we can review them from the following six points:

1. Names, addresses and ID numbers of both parties to the contract;

2. Indicate that the contract amount is the total price tax;

3. Make clear the payment time and installment amount;

4. Explain whether the seller needs to provide a special VAT invoice, what is the tax rate and when to issue the invoice;

5. Emphasize the buyer's obligation to apply for a red-ink special invoice when returning goods;

6, explain the liability for compensation caused by the invoice does not meet the requirements.

Key points of business contract review: 1, whether the parties to the contract have corresponding civil capacity; 2, review the contract meaning is true; 3. Review whether the contents of the contract are legal; 4. Review whether the contract elements and procedures are complete.

legal ground

People's Republic of China (PRC) Civil Code

Article 143 A civil juristic act that meets the following conditions is valid:

(1) The actor has corresponding capacity for civil conduct;

(2) the meaning is true;

(three) does not violate the mandatory provisions of laws and administrative regulations, and does not violate public order and good customs. Article 502 A lawfully formed contract shall become effective upon its formation, unless otherwise provided by law or agreed by the parties.

In accordance with the provisions of laws and administrative regulations, if the contract should go through the approval procedures, such provisions shall prevail. If the failure to go through the formalities such as approval affects the effectiveness of the contract, it will not affect the performance of the obligation clauses such as approval and the effectiveness of relevant clauses in the contract. If the party that should go through the formalities for approval fails to perform its obligations, the other party may require it to bear the responsibility for violating its obligations.

The modification, assignment and dissolution of a contract shall be subject to the provisions of laws and administrative regulations, and the provisions of the preceding paragraph shall apply and shall be subject to approval. Article 506 The following exemption clauses in the contract are invalid:

(1) Causing personal injury to the other party;

(2) Causing property losses to the other party due to intentional or gross negligence. Article 507 Invalidation, invalidity, cancellation or termination of a contract shall not affect the validity of the dispute settlement clauses in the contract.