The full text of the notice is as follows:
The finance departments (bureaus) of all provinces, autonomous regions, municipalities directly under the central government and cities under separate state planning, the Propaganda Department of the Party Committee, the Finance Bureau of Xinjiang Production and Construction Corps, and the tax bureaus of all provinces, autonomous regions, municipalities directly under the central government and cities under separate state planning in State Taxation Administration of The People's Republic of China:
In order to implement the relevant provisions of the Notice of the General Office of the State Council on Printing and Distributing the Two Provisions on Transforming Operating Cultural Institutions into Enterprises and Further Supporting the Development of Cultural Enterprises in the Cultural System Reform (Guo Ban Fa [2018]124No.), further deepen the cultural system reform and continue to promote the transformation of state-owned operating cultural institutions into enterprises, the relevant matters concerning the continued implementation of the tax policy on transforming operating cultural institutions into enterprises are hereby notified as follows:
First, business cultural institutions can enjoy the following preferential tax policies when they are transformed into enterprises:
(a) the business cultural institutions are transformed into enterprises, and shall be exempted from enterprise income tax within five years from the date of registration. Enterprises that have completed the transformation before 20 18 1 February 3 1 day can continue to be exempted from enterprise income tax for five years from 20 19 1 month1day.
(two) the cultural units funded by the financial department are transformed into enterprises, and the property tax for their own use is exempted within five years from the date of registration. Enterprises that have completed the transformation before 20 18 1 February 3 1 day can continue to be exempted from property tax for five years from 20 19 1 month1day.
(3) A cultural enterprise formed by stripping its distribution and printing business and corresponding operating assets from party newspapers and periodicals shall be exempted from value-added tax on the distribution income and printing income of party newspapers and periodicals since the date of registration.
(4) Enterprises' income tax, value-added tax, urban maintenance and construction tax, deed tax, stamp duty, etc. involved in asset appraisal and appreciation, asset transfer or transfer in the transformation of operating cultural institutions shall enjoy corresponding preferential tax policies in line with the existing provisions.
The above-mentioned "operating cultural institutions" refer to institutions engaged in press and publication, radio, film and television, and culture and art. Transformation includes integral transformation and divestiture transformation. Among them, the overall transformation includes: (books, audio-visual, electronic) publishing houses, non-current newspapers and periodicals publishing units, Xinhua Bookstore, art troupes, film studios, film (distribution and projection) companies, theaters, key news websites, etc.; The divestiture and transformation include: advertising, printing, distribution, transmission network and other parts of news media, as well as program production and sales institutions such as film and television dramas, which are divested from the business system and transformed into enterprises.
The above-mentioned "date of transformation and registration" refers to the date when a business cultural institution is transformed into an enterprise and registered as an enterprise legal person. For business cultural institutions that have registered as legal persons before the transformation, the transformation will be completed and enjoy the preferential tax policies stipulated in this notice according to the date of cancellation of the registration of legal persons of institutions or the date of approval of the establishment of verification institutions (if the legal persons of institutions were not registered before the transformation).
The above-mentioned "transformation has been completed before 20 181February 3 1 day" means that the business cultural institutions have been transformed into enterprises and registered as enterprise legal persons on or before 20 18/February 3 1 day.
Before the issuance of this notice, the transformed cultural enterprises that have been examined and found to enjoy the notice of the Ministry of Finance, State Taxation Administration of The People's Republic of China and Publicity Department of the Communist Party of China, on continuing to implement some tax policies for the transformation of operating cultural institutions into enterprises in the cultural system reform (Cai Shui [2014] No.84) can enjoy preferential tax policies according to the provisions of this notice.
Two, enjoy preferential tax policies for the transformation of cultural enterprises should also meet the following conditions:
(a) according to the approval of the relevant departments for restructuring.
(2) The transformed cultural enterprise has registered as an enterprise legal person.
(three) before the overall restructuring, the institution as a legal person has been registered, and after the restructuring, the establishment and cancellation of the institution as a legal person have been written off; If the legal person registration of public institutions is not carried out before the overall restructuring, the establishment of the business has been written off after the restructuring.
(four) have signed labor contracts with all employees, according to the enterprise approach to participate in social insurance.
(five) the transformation of cultural enterprises to introduce non-public capital and overseas capital, must comply with national laws, regulations and policies; If the change of capital structure should be approved according to law, it should be approved by the competent department of industry and the state-owned cultural assets supervision department.
This notice applies to all cultural units that have been transformed. The identification of the transformed cultural enterprises owned by the central government shall be determined and published by the Central Propaganda Department in conjunction with the Ministry of Finance and the State Administration of Taxation; The identification of local transformed cultural enterprises shall be determined and published by local propaganda departments at all levels in conjunction with the finance and taxation departments at the same level in accordance with the registration management authority, and copied to the Central Propaganda Department, the Ministry of Finance and the State Administration of Taxation according to procedures.
It has been recognized that the name of the transformed cultural enterprise has changed, and if the main business has not changed, a letter of consent issued by the office of the leading group for the reform and development of the cultural system at the same level can be held to go through the formalities of change with the competent tax authorities; If the main business changes, it shall be re-identified in accordance with the conditions stipulated in this article.
Three, the recognized transformation of cultural enterprises, should go through preferential procedures in accordance with the relevant provisions on the administration of preferential tax matters, to declare and enjoy preferential tax policies.
The enterprise shall keep the reply letter of the restructuring plan, the business license of the enterprise, the certificate that the establishment management organ at the same level has written off the establishment of the enterprise and cancelled the legal person of the institution, the relevant materials for signing labor contracts with the employees and participating in the social insurance system according to the enterprise method, the approval documents of the relevant departments for introducing non-public capital and overseas capital and changing the capital structure for future reference, and the tax authorities shall strengthen the follow-up management according to law.
Four, the unrecognized transformed cultural enterprises or transformed cultural enterprises do not meet the provisions of this notice, and shall not enjoy the relevant preferential tax policies. Where preferential treatment has been enjoyed, the competent tax authorities shall recover the tax that has been reduced or exempted.
Five, for enterprises that have been transformed in accordance with the provisions of this notice, the tax should be reduced or exempted, and if it has been collected and put into storage before the issuance of this notice, it can be offset against the tax payable in the later tax period or returned to the library.
VI. The implementation period of tax policy stipulated in this Notice is 20 19 1 month 1 day to 2023 1 February 31day.
Enterprises that have enjoyed the tax policies in Items (1) and (2) of Article 1 of this Notice for less than five years in 20231February 3/KLOC-0 may continue to enjoy them until the expiration of five years.
The Notice of the Ministry of Finance, State Taxation Administration of The People's Republic of China and Publicity Department of the Communist Party of China, on Continuing to Implement Some Tax Policies for Transforming Operating Cultural Institutions into Enterprises in the Cultural System Reform (Cai Shui [20 1 4] No.84) has been suspended since 20 19/month 1 day.