1. Non-inter-provincial project subcontracting shall be withheld and remitted by the withholding agent where the project is located. 2. The subcontracting of inter-provincial projects shall be withheld and remitted by the withholding agent at the place where the withholding agent institution is located; If the subcontractor subcontracts the project again, the project of a bid section is still an inter-provincial project, and the business tax of the inter-provincial project is also withheld and remitted by the general contractor at the location of his institution.

Legal objectivity:

Measures for the Administration of the Registration of General VAT Taxpayers Article 2 Where the annual taxable sales of VAT taxpayers exceed the standards for small-scale taxpayers stipulated by the Ministry of Finance of People's Republic of China (PRC) and State Taxation Administration of The People's Republic of China (hereinafter referred to as the "prescribed standards"), they shall, in addition to complying with the provisions of Article 4 of these Measures, register with the competent tax authorities as general taxpayers. The term "annual taxable sales" as mentioned in these Measures refers to the value-added tax sales accumulated by taxpayers during the continuous operation period of no more than 12 months or four quarters, including tax declaration sales, check-up sales and tax assessment adjustment sales.