A negative number in the tax payable means that the tax is overpaid or the tax has not been accrued. In addition, it is also possible that the input tax amount of the current period is greater than the output tax amount, resulting in an excess tax credit. Taxes payable include value-added tax, consumption tax, business tax, income tax, resource tax and other taxes paid by the enterprise in accordance with the law, as well as personal income tax collected and paid by the enterprise before being paid to the state. The stamp duty, farmland occupation tax and vehicle purchase tax paid by the enterprise do not need to be estimated as tax payable, and should not be calculated through the tax payable account. When the actual payment is made, it will be offset against bank deposits and other accounts. Article 20 of the "Interim Regulations of the People's Republic of China on Value-Added Tax" states that value-added tax shall be collected by the tax authorities, and value-added tax on imported goods shall be collected by the customs. Value-added tax on items brought or mailed into the country for personal use by individuals is levied together with customs duties. Specific measures shall be formulated by the Tariff Commission of the State Council in conjunction with relevant departments. Article 4 of the "Interim Regulations of the People's Republic of China on Consumption Tax" The taxable consumer goods produced by the taxpayer shall be taxed when the taxpayer sells them. Taxable consumer goods produced by taxpayers for their own use shall not be taxed if they are used for the continuous production of taxable consumer goods; if they are used for other purposes, tax shall be paid when they are transferred for use. For taxable consumer goods that are entrusted to be processed, unless the entrustee is an individual, the entrusted party shall collect and remit taxes upon delivery to the entrusting party. For taxable consumer goods entrusted to be processed, if the entrusting party uses them to continuously produce taxable consumer goods, the tax paid is allowed to be deducted in accordance with regulations. Imported taxable consumer goods are taxed at the time of import declaration. Article 9 of the "Provisional Regulations of the People's Republic of China on Business Tax" If a taxpayer concurrently engages in tax exemption and tax reduction projects, the turnover of tax exemption and tax reduction projects shall be calculated separately; if the turnover is not calculated separately, tax exemption and tax reduction shall not be allowed . Article 10 If the taxpayer's turnover does not reach the business tax threshold stipulated by the finance and taxation authorities of the State Council, the business tax shall be exempted; if the business tax reaches the threshold, the business tax shall be calculated and paid in full in accordance with the provisions of these regulations.

Regulation validity verification: June 17, 2024