Taxes from private enterprises should be handed over to the central government. Now the local taxation bureau and the national taxation bureau are merged into the tax bureau, so the tax is handed over to the state. The taxes to be paid by private enterprises include value-added tax, urban construction tax, education surcharge, enterprise income tax, stamp duty and property tax. Private enterprises need to pay the above taxes and fees for commercial activities after approval, depending on the actual situation.

The taxes paid by private enterprises are as follows

A sole proprietorship enterprise takes investors as taxpayers and pays individual income tax. The balance of the total income of an enterprise in each tax year after deducting the losses lower than the costs and expenses shall be regarded as the income from individual production and operation of investors. According to the taxable items derived from the production and operation of individual industrial and commercial households in the Individual Income Tax Law, the five-level excess progressive tax rate of 5% to 35% shall be applied to calculate and collect individual income tax.

Private enterprises other than sole proprietorship enterprises and partnership enterprises shall pay taxes at the rate of 25% on all their sources inside and outside China after deducting certain expenses, while sole proprietorship enterprises, partnership enterprises and individual industrial and commercial households shall pay taxes according to the income from the production and operation of individual income tax at the rate of 5% to 35%.