The change from business tax to value-added tax (yíng yè shuì gǎi zēng zhí shuì) refers to the change of taxable items that previously paid business tax to value-added tax. The biggest feature of camp reform is to reduce double taxation, which can promote the formation of a better virtuous circle in society and help enterprises reduce their tax burden.

That is, business tax used to be levied, but now it is changed to value-added tax, which can be deducted. In fact, it reduces the tax point and pays less taxes.

To put it simply, the producer has paid the corresponding tax when selling a product 100 yuan, and the buyer sells 150 yuan when selling it again, so the corresponding tax can be deducted when he buys it, and the buyer only needs to calculate and pay the corresponding tax on the value-added 50 yuan. Similarly, the reform of the camp is to tax the items that have paid business tax before, such as the services provided.

Extended data:

Value-added tax rate after changing business tax to value-added tax:

According to the Notice on Adjusting the VAT Rate (Cai Shui [2018] No.32):

In order to improve the value-added tax system, the relevant policies for adjusting the value-added tax rate are hereby notified as follows:

1. If the taxpayer conducts VAT taxable sales or imports goods, and the tax rates of 17% and 1 1% were originally applicable, the tax rates will be adjusted to 16% and 10% respectively. ?

Two, taxpayers to buy agricultural products, the original application of 1 1% deduction rate, the deduction rate is adjusted to 10%.

Iii. Taxpayers who purchase agricultural products for producing, selling or processing goods with the tax rate of 16% shall calculate the input tax according to the deduction rate of 12%.

4. For the export goods for which the tax rate of 17% was originally applicable and the export tax rebate rate was 17%, the export tax rebate rate was adjusted to 16%. For export goods and cross-border taxable activities that were originally subject to the tax rate of 1 1% and the export tax rebate rate was1%,the export tax rebate rate was adjusted to 10%.

5. If the cross-border taxable behavior of the goods and sales mentioned in Article 4 exported by foreign trade enterprises before July 3, 20 18 has been taxed at the pre-adjustment tax rate at the time of purchase, the export tax rebate rate before adjustment shall be implemented; If VAT has been levied at the adjusted tax rate at the time of purchase, the adjusted export tax rebate rate shall be implemented.

Before July 3, 20 18, the goods involved in Article 4 exported by the production enterprise and the cross-border taxable acts involved in Article 4 sold by the production enterprise shall be subject to the export tax rebate rate before adjustment.

Baidu encyclopedia-changing business tax to value-added tax

State Taxation Administration of The People's Republic of China-Notice on Adjusting VAT Rate