Entrusted processing of taxable consumer goods refers to the act of outsourcing taxable consumer goods to other enterprises for processing, recycling or direct sales by the entrusting party after processing is completed, and paying the processing expenses to the entrusting party, who will collect and remit the consumption tax. The following are some common situations of entrusted processing of taxable consumer goods:
1. Entrusted to process taxable consumer goods such as cigarettes, alcohol and cosmetics.
2. No consumption tax is levied on the entrusted processing of precious jewelry and jewelry and jade.
3. Entrust the processing of golf balls, golf equipment and high-end watches, and levy consumption tax.
4. Entrust the processing of wooden disposable chopsticks and collect consumption tax.
5. Entrust the processing of firecrackers and fireworks, and levy consumption tax.
6. Commissioned processing of oilstone and lubricating oil is subject to consumption tax.
7. Commissioned processing of automobile tires is subject to consumption tax.
8. Commissioned processing of motorcycles is subject to consumption tax. Entrusted processing of taxable consumer goods includes the following situations:
1. The trustee and the entrusting party are general VAT taxpayers. The entrusting party provides raw materials and main materials, and the entrusted party collects processing fees to pay for some taxable consumer goods processed with auxiliary materials.
2. The trustee is the general taxpayer of value-added tax, and the entrusting party is the general taxpayer. Purchase non-self-use taxable consumer goods or small-scale taxpayers, provide raw materials and main materials, and the trustee processes taxable consumer goods.
3. The entrusted party is a small-scale taxpayer and the entrusting party is a general taxpayer. The Trustee provides raw materials and main materials for processing taxable consumer goods.
4. The entrusted party is a small-scale taxpayer and the entrusting party is a general taxpayer. Purchase non-self-use taxable consumer goods or small-scale taxpayers, provide raw materials and main materials, and the trustee processes taxable consumer goods.
To sum up:
Entrusted processing of taxable consumer goods refers to taxable consumer goods that outsource processing tasks to other enterprises and pay processing fees to the trustee, who collects and pays consumption tax. Common taxable consumer goods entrusted for processing include cigarettes, alcohol and cosmetics. And the processing regulations and consumption tax collection policies of different products may be different. Therefore, it is necessary to understand the relevant laws and policies when entrusting processing, and clarify the processing expenses and consumption tax payment with the entrusted party.
Legal basis:
The Provisional Regulations on Consumption Tax in People's Republic of China (PRC) stipulates: "Taxable consumer goods entrusted for processing shall be collected and remitted by the entrusted party at the time of delivery to the entrusting party, except that the entrusted party is an individual; Taxable consumer goods entrusted for processing, if the entrusting party is used for continuous production of taxable consumer goods, are allowed to deduct the tax paid according to regulations. " Specifically, if the trustee is an individual, the tax will be collected and remitted by the trustee when it is delivered to the entrusting party; If the entrusted party is an entity such as a unit or individual industrial and commercial household, the consumption tax shall be collected and remitted at the time of delivery to the entrusting party. At the same time, the Detailed Rules for the Implementation of the Provisional Regulations on Consumption Tax in People's Republic of China (PRC) stipulates: "If taxable consumer goods entrusted for processing are directly sold, consumption tax will not be levied." Therefore, if the taxable consumer goods entrusted for processing are directly sold, consumption tax is not required.