Applicable tax rate: 5%. According to the Notice of State Taxation Administration of The People's Republic of China of the Ministry of Finance on Adjusting the Consumption Tax Policy of Tobacco Products (Caishui [2009] No.84), State Taxation Administration of The People's Republic of China has re-approved taxable value (see table 1) with the lowest consumption tax on all brands and specifications in the production process. The specific accounting method is as follows:

First, adjust the consumption tax policy in the production of tobacco products.

(1) Adjustment of consumption tax on cigarette production in taxable value.

Taxable value is the lowest consumption tax in new cigarette production, which was approved and promulgated by State Taxation Administration of The People's Republic of China, People's Republic of China (PRC).

(2) Adjusting the ad valorem tax rate of consumption tax on cigarette production (including import).

1.A cigarettes, that is, cigarettes with transfer price in 70 yuan (excluding value-added tax) or above (including 70 yuan) per standard article (200 cigarettes, the same below), the tax rate is adjusted to 56%.

2. Class B cigarettes, that is, cigarettes with the transfer price of each standard product below 70 yuan (excluding VAT), the tax rate is adjusted to 36%.

The specific rate of cigarettes remains unchanged, that is, 0.003 cigarettes/cigarette.

(3) Adjust the ad valorem tax rate of consumption tax on cigar production (including import).

Adjust the cigar production tax rate to 36%.

Two, increase the ad valorem tax in cigarette wholesale.

Taxpayer: Units and individuals engaged in cigarette wholesale business in People's Republic of China (PRC).

(2) Collection scope: all brands and specifications of cigarettes sold by taxpayers wholesale.

(3) Tax basis: the taxpayer's cigarette wholesale sales (excluding VAT).

(four) taxpayers should separate the sales of cigarettes from the sales of other commodities, and if they are not accounted for separately, the consumption tax shall be levied together.

(5) Applicable tax rate: 5%.

(6) Taxpayers shall pay taxes when selling cigarettes to units and individuals other than taxpayers. Cigarettes sold between taxpayers are not subject to consumption tax.

(7) Time of occurrence of tax obligation: the day when the taxpayer receives the sales payment or obtains the voucher for claiming the sales payment.

(8) Tax payment place: the place where the cigarette wholesale enterprise is located. If the head office and branches are not in the same area, the head office shall declare and pay taxes.

(nine) after the cigarette consumption tax is levied in the production and wholesale links, the wholesale enterprise shall not deduct the consumption tax included in the production links when calculating the tax.