Special VAT invoices can be issued for sand and gravel materials, but they need to be purchased from suppliers who follow the simplified collection method.

The "Announcement of the State Administration of Taxation on Issues Concerning the Simplification of the Collection Rate of Value-Added Tax" (State Administration of Taxation Announcement No. 36, 2014) stipulates:

General taxpayers selling self-produced For the following goods, you can choose to calculate and pay value-added tax at a 3% tax rate according to the simplified method. At the same time, special value-added tax invoices are not allowed. ?

1. Sand, soil and stone used in construction and production of building materials. ?

2. Bricks, tiles and lime (excluding clay solid bricks and tiles) continuously produced from self-quarried sand, soil, stone or other minerals. ?

3. Commercial concrete (limited to cement concrete produced with cement as raw material). ?

Therefore, if the sand and stone purchased by a construction company are purchased from suppliers that follow the simplified collection method, the construction company can only obtain a general VAT invoice, and the input tax cannot be deducted. ?

Extended information:

Regulations on obtaining invoices for sand and stone materials:

You must go to the local tax authority to issue special value-added tax invoices. Construction companies can 3% of the input tax can be deducted, otherwise the input tax cannot be deducted and cannot be deducted before corporate income tax.

Of course, construction companies can purchase sand and gravel from sand and gravel plants that are qualified as general taxpayers, and they can get a 17% value-added tax deduction.

China Tax Network - Real estate and construction companies cannot deduct input tax after replacing business tax with value-added tax