First, the current preferential tax policies for cooperatives

Value added tax. The Notice of the Ministry of Finance and State Taxation Administration of The People's Republic of China on Relevant Tax Policies of Farmers' Specialized Cooperatives (Caishui [2008] No.81) stipulates that the sales of agricultural products produced by members of farmers' specialized cooperatives are deemed as the sales of self-produced agricultural products by agricultural producers are exempt from value-added tax; For duty-free agricultural products purchased by general VAT taxpayers from farmers' professional cooperatives, the VAT input tax can be deducted at the deduction rate of 13%; Agricultural films, seeds, seedlings, fertilizers, pesticides and agricultural machinery sold by farmers' professional cooperatives to members of the cooperative are exempt from value-added tax. The Detailed Rules for the Implementation of the Provisional Regulations of the People's Republic of China on Value-added Tax (implemented on 1 month/day of 2009) stipulates that agricultural production units and individuals can be exempted from value-added tax when selling their own primary agricultural products, including planting, aquaculture, forestry, animal husbandry and aquaculture. The Notice of the Ministry of Finance and State Taxation Administration of The People's Republic of China on the Policy of Exempting Value-added Tax on Certain Agricultural Means of Production (Caishui [2001]13) stipulates that the wholesale and retail of seeds, seedlings, fertilizers, pesticides, agricultural machinery, agricultural films and other goods shall be exempted from value-added tax. The Provisional Regulations on Value-added Tax of the People's Republic of China (implemented on 1 month/day in 2009) stipulates that taxpayers can enjoy the preferential tax rate of 1 3% for selling or importing grain, edible vegetable oil and feed, fertilizers, pesticides, agricultural machinery and plastic films; Imported instruments and equipment directly used for scientific research, scientific experiments and teaching are exempt from value-added tax. The Notice of the General Administration of Customs on Exempting Imported Seeds, Breeding Livestock, Fish Species and Non-profit Wild Animal and Plant Provenances from Import Value-added Tax (No.3L of the Department of Taxation [1997]) stipulates that imported seeds, breeding livestock and fry used for scientific research in agriculture, forestry, animal husbandry and fishery production may be exempted from import value-added tax temporarily; For improved agricultural products such as horses, donkeys, cattle, pigs, sheep, livestock, fry, barley, oats and sorghum, the MFN minimum tax rate is zero. Notice of the Ministry of Finance and State Taxation Administration of The People's Republic of China on the Policy of Applying Low VAT Rate to Some Goods and Collecting VAT by Simple Method (Caishui [2009] No.9) stipulates that general VAT taxpayers can collect VAT at the low tax rate of 13% when selling or importing agricultural products.

Stamp duty. The Notice of the Ministry of Finance and State Taxation Administration of The People's Republic of China on Relevant Tax Policies of Farmers' Specialized Cooperatives (Caishui [2008]No. 8L) stipulates that the purchase and sale contracts of agricultural products and agricultural means of production signed by farmers' specialized cooperatives and their members are exempt from stamp duty. Article 13 of the Detailed Rules for the Implementation of the Provisional Regulations of the People's Republic of China on Stamp Duty (Caishuizi [1988] No.225) stipulates that the purchase contract of agricultural and sideline products concluded by the purchasing department designated by the state with villagers' committees and individual farmers shall be exempted from stamp duty. Notice of the State Administration of Taxation on Issues Related to Collecting Stamp Duty from Insurance Companies (Guo Shui Di Zi [1988] No.37) stipulates that insurance contracts for agricultural and forestry crops and animal husbandry are exempt from stamp duty.

Enterprise income tax. According to Article 86 of the Regulations for the Implementation of the Enterprise Income Tax Law of the People's Republic of China (implemented on 1 month/day of 2008), the income of enterprises engaged in agricultural, forestry, animal husbandry and fishery projects as stipulated in Item (1) of Article 27 of the Enterprise Income Tax Law can be exempted or reduced, which means: (1) 2. Breeding of new crop varieties; 3. Cultivation of Chinese herbal medicines; 4. Cultivation and planting of trees; 5. Raising livestock and poultry; 6. Collection of forest products; 7. Agricultural, forestry, animal husbandry and fishery service projects such as irrigation, primary processing of agricultural products, veterinary medicine, agricultural technology extension, agricultural machinery operation and maintenance; 8. Ocean fishing. (2) The enterprise income tax shall be levied by half on the income from the following projects:1.Planting of flowers, tea and other beverage crops and spice crops; 2. Marine aquaculture and inland aquaculture. According to the reply of the Ministry of Finance to the relevant suggestions of NPC deputies (Cai Nong Bian [2009]No. 20L), farmers' professional cooperatives enjoy the enterprise income tax reduction and exemption policy with reference to the provisions of the enterprise income tax law on general enterprises.

Personal income tax. The Notice of the Ministry of Finance and State Taxation Administration of The People's Republic of China on Personal Income Tax in the Pilot Area of Rural Tax and Fee Reform (Caishui [2004] No.30) stipulates that during the pilot period of rural tax and fee reform, if individuals or self-employed individuals engage in planting, aquaculture, breeding and fishing, and the business items fall within the scope of agricultural tax (including agricultural tax) and animal husbandry tax, they will obtain "four industries"

Business tax. Paragraph 5 of Article 8 of the Provisional Regulations of the People's Republic of China on Business Tax (implemented on 1 month/day of 2009) stipulates that agricultural mechanization, irrigation and drainage, pest control, plant protection, agriculture and animal husbandry insurance and related technical training, breeding of poultry, livestock and aquatic animals and disease prevention are exempt from business tax. According to the Ministry of Finance's reply to the NPC deputies' suggestions (Cai Nong Bian [2009] No.201), farmers' professional cooperatives enjoy the business tax reduction and exemption policy with reference to the provisional regulations on business tax and other provisions on general enterprises.

Urban land use tax and property tax. Article 6 of the Provisional Regulations of the People's Republic of China on Urban Land Use Tax (1988 1 month1day) stipulates that it shall be directly used for agriculture, forestry, animal husbandry and animal husbandry. The Notice of State Taxation Administration of The People's Republic of China on Adjusting the Interpretation Provisions on the Specific Taxation Scope of Property Tax and Land Use Tax (Guo Shui Fa [1999] No.44) stipulates that the land for agriculture, forestry, animal husbandry and fishery and the houses and land used by farmers are not subject to property tax and land use tax.

Farmland occupation tax. Article 10 of the Provisional Regulations of the People's Republic of China on Farmland Occupation Tax (implemented on 1 month/day, 2008) stipulates that the farmland occupation tax will be levied by half according to the local applicable tax when rural residents occupy farmland to build new houses; Article 14 stipulates that farmland occupation tax is not levied on agricultural land (forest land, grassland, land for irrigation and water conservancy facilities, aquaculture water surface and beaches in fishery waters, etc.) occupied by production facilities that directly serve agricultural production.

Deed tax Article 15 of the Detailed Rules for the Provisional Regulations of the People's Republic of China on Deed Tax (No.52 of Caifazi [1997]) stipulates that taxpayers who bear the right to use barren hills, gullies, hills and beaches for agricultural, forestry, animal husbandry and fishery production shall be exempted from deed tax.

Travel tax and vehicle purchase tax. Article 3 of the Provisional Regulations of the People's Republic of China on Travel and Vessel Tax (implemented on 1 month/day of 2007) stipulates that tractors and fishing boats for fishing and breeding can be exempted from travel and vessel tax. The Notice of the Ministry of Finance and State Taxation Administration of The People's Republic of China on Exempting Agricultural Tricycles from Vehicle Purchase Tax (Caishui [2004] No.66) stipulates that agricultural tricycles are exempted from vehicle purchase tax. Agricultural tricycles refer to three-wheeled motor vehicles with diesel engines, power not more than 7.4kw, load not more than 500kg and maximum speed not more than 40 km/h.

Tariff. The Notice of the Ministry of Finance and State Taxation Administration of The People's Republic of China on the 20 10 Annual Duty-free Import Plan for Seed (Seedling), Breeding Livestock (Poultry), Fish Species (Seedling) and Species of Wild Animals and Plants of the Ministry of Agriculture (No.2010]1) stipulates that the import shall be used in agriculture, agriculture, agriculture, agriculture, agriculture, agriculture, agriculture, agriculture, agriculture and animal husbandry.