Taxpayers purchasing agricultural products shall deduct the input tax in accordance with the following provisions:
(1) Except as provided in Item (2) of this article, if a taxpayer purchases agricultural products and obtains a special VAT invoice or a special customs import VAT payment book issued by a general taxpayer, the VAT indicated in the special VAT invoice or the special customs import VAT payment book shall be regarded as the input tax; If a special VAT invoice is obtained from a small-scale taxpayer who pays VAT at the rate of 3% according to the simple tax calculation method, the input tax amount shall be calculated based on the amount indicated on the special VAT invoice and the deduction rate of 1 1% (now 9%); If an agricultural product sales invoice or purchase invoice is obtained (issued), the input tax shall be calculated according to the purchase price of agricultural products and the deduction rate 1 1% (now 9%) indicated in the agricultural product sales invoice or purchase invoice.
Self-produced and self-sold agricultural products are exempt from VAT.
1. Article 15 of the Provisional Regulations on Value-added Tax is exempt from value-added tax for the following items: self-produced agricultural products sold by agricultural producers.
2. The self-produced agricultural products sold by agricultural producers as mentioned in the first item of the tax-free items listed in Article 15 of the Provisional Regulations on Value-added Tax in People's Republic of China (PRC) refer to the self-produced agricultural products sold by units and individuals directly engaged in plant planting, harvesting, animal breeding and fishing.
3. The scope of some tax-free items stipulated in Articles 35 and 15 of the Provisional Regulations on Value-added Tax is limited as follows: The agriculture referred to refers to planting, aquaculture, forestry, animal husbandry and aquaculture. Agricultural producers, including units and individuals engaged in agricultural production. Agricultural products refer to primary agricultural products, and the specific scope is determined by the Ministry of Finance of People's Republic of China (PRC) and State Taxation Administration of The People's Republic of China.
Agricultural products produced and sold by themselves are exempt from enterprise income tax.
"Regulations for the Implementation of the Enterprise Income Tax Law" Article 86 The income of enterprises engaged in agricultural, forestry, animal husbandry and fishery projects as stipulated in Article 27 of the Enterprise Income Tax Law may be exempted or reduced, which means:
The income of enterprises engaged in the following projects shall be exempted from enterprise income tax:
1. Planting of vegetables, grains, potatoes, oilseeds, beans, cotton, hemp, sugar, fruits and nuts;
2. Cultivate new crop varieties;
3. Chinese herbal medicine planting;
4. Cultivation and planting of trees;
5. Raising livestock and poultry;
6. Collection of agricultural products;
7. Agricultural, forestry, animal husbandry and fishery services such as irrigation, primary processing of agricultural products, veterinary medicine, agricultural technology popularization, operation and maintenance of agricultural machinery;
8. Marine fishing.
Legal basis:
"Regulations for the Implementation of the Enterprise Income Tax Law of People's Republic of China (PRC)" Article 86 The income of enterprises engaged in agricultural, forestry, animal husbandry and fishery projects as stipulated in Item (1) of Article 27 of the Enterprise Income Tax Law may be exempted or reduced, which means:
The income of enterprises engaged in the following projects shall be exempted from enterprise income tax:
A. Planting vegetables, grains, potatoes, oilseeds, beans, cotton, hemp, sugar, fruits and nuts; B. Agricultural, forestry, animal husbandry and fishery services such as irrigation, primary processing of agricultural products, veterinary drugs, agricultural technology popularization, operation and maintenance of agricultural machinery, etc., which meet the provisions of the above tax law, shall be exempted from value-added tax and enterprise income tax.