Not exempt from tax

According to the Notice of the Ministry of Finance and the State Administration of Taxation on Value-Added Tax Policies for Unpowered Walking Tractors and Three-wheeled Agricultural Transport Vehicles (Finance and Taxation [2002] 89 No.) document stipulates: "Unpowered walking tractors (also called 'walking tractor chassis') and three-wheeled agricultural transport vehicles (referring to three-wheeled agricultural transport vehicles powered by a single-cylinder diesel engine) belong to the category of 'agricultural machinery' '. "The three-wheeled agricultural transport vehicles powered by single-cylinder diesel engines sold by this unit can be exempted from value-added tax according to the value-added tax policy on "agricultural machinery". The three-wheeled agricultural transport vehicles and four-wheeled agricultural transport vehicles powered by double-cylinder diesel engines are sold by this unit. Agricultural transport vehicles do not fall within the scope of tax-free agricultural machinery. They must pay VAT at the statutory VAT rate and cannot enjoy VAT exemptions.