The special ticket of 1 min is a preferential tax policy for small-scale taxpayers and individual industrial and commercial households, that is, the original tax rate of 3% is reduced by 2 percentage points to 1%. This policy can be said to be very friendly to small-scale taxpayers, and it is a preferential policy for small-scale taxpayers to reduce VAT. According to the Announcement of the Ministry of Finance and State Taxation Administration of The People's Republic of China on Supporting Small-scale Taxpayers and Individual Industrial and Commercial Households to Resume Work, small-scale VAT taxpayers in other provinces, autonomous regions and municipalities directly under the Central Government levy taxable sales income at the rate of 3%, and levy VAT at the reduced rate of 1%; The withholding rate is 3%, and the withholding value-added tax is reduced by 1%.

What do you mean by 1. 1% special ticket?

Issue a special VAT invoice with the collection rate of 1%, with tax amount = amount× 1%, amount+tax amount = total price tax, and the buyer is a general taxpayer, and deduct it according to the tax amount1%on the invoice. For the special VAT invoice with a collection rate of 3%, the tax amount = amount ×3%, amount+tax amount = total price tax, and the buyer is a general taxpayer, which is deducted according to the tax amount of 3% on the invoice. Under normal circumstances, if the tax rate of 3% is applied to small-scale taxpayers, the tax rate will be reduced by 1% during the epidemic period, so it should be small-scale taxpayers who issue invoices with the tax rate of 1%. However, ordinary taxpayers who choose to apply the simple tax calculation method and collect VAT at the rate of 3% cannot apply the preferential policy of 1% during the epidemic period and can only issue invoices at the rate of 3%. Therefore, invoices with a tax rate of 3% should generally be issued by ordinary taxpayers.

2. Small-scale taxpayers can only open a special ticket. The specific provisions are as follows: a. According to the Announcement of State Taxation Administration of The People's Republic of China of the Ministry of Finance on the VAT Policy of Supporting Individual Industrial and Commercial Households to Return to Work (AnnouncementNo. 13 of State Taxation Administration of The People's Republic of China of the Ministry of Finance in 2020), it will be applicable to small-scale taxpayers of VAT in Hubei Province from March 1 day to May 3/day, 2020. VAT prepayment with 3% withholding rate shall be applied, and VAT prepayment shall be suspended.

B. According to the Announcement of State Taxation Administration of The People's Republic of China of the Ministry of Finance on Extending the Implementation Period of the VAT Reduction and Exemption Policy for Small-scale Taxpayers (Announcement No.24 of State Taxation Administration of The People's Republic of China of the Ministry of Finance in 2020) and the Announcement of State Taxation Administration of The People's Republic of China of the Ministry of Finance on Supporting Individual Industrial and Commercial Households to Return to Work (Announcement No.3 of State Taxation Administration of The People's Republic of China of the Ministry of Finance in 2020), the implementation period of the preferential tax policies is extended to 65,438. If a small-scale VAT taxpayer obtains taxable sales income and the tax obligation occurs before the end of February 2020, VAT will be levied at the rate of 3%, and a VAT invoice will be issued at the rate of 3%; The tax obligation occurs from March 1 day to February 3 1 day 1 day, 2020. If VAT is levied at the reduced rate of 1%, VAT invoices will be issued at the rate of 1%.