The 3% tax rate applies to: construction industry, postal and telecommunications industry, culture and sports industry, transportation industry;

The 3% tax rate for transportation industry, land transportation, including railway transportation, road transportation, Cable car transportation, ropeway transportation and other land transportation. Water transportation and salvage, taxation is similar to water transportation. Air transportation is the transportation business of transporting goods or passengers through air routes. General aviation business, aviation ground service business, taxation is similar to air transportation. Pipeline transportation Loading and unloading.

Construction industry 3% construction, installation, repair, decoration and other engineering operations

Finance and insurance industry 5% financial business includes loans, financial leasing, financial product transfer, financial brokerage and other financial businesses. Loans include self-owned fund loans and on-lending. The mortgage loan business of the pawn industry is taxed as a self-owned fund loan. The loan business of the People's Bank of China is not taxed. Refundable personal insurance business with a term of more than one year is exempt from business tax.

3% of the postal and telecommunications industry includes postal services, telecommunications and postal services including delivery of letters or parcels, postal remittances, distribution of newspapers and periodicals, sales of postal items, postal savings, and other postal services. The postal department sells philatelic products and collects business tax. Telecommunications includes telegraphs, telexes, telephones, telephone installations, sales of telecommunications items and other telecommunications services. 5. Culture and sports industry 3% includes the cultural industry, sports industry The cultural industry includes performances, broadcasts, and other cultural industries. The business of operating tourist venues , taxation is compared with the cultural industry. The sports industry includes organizing sports competitions and providing venues for sports competitions or activities.

20% of the entertainment industry operates karaoke bars, dance halls, karaoke dance halls, music cafes, golf, squash, tennis and other projects. It operates shooting, amusement machines, horse racing, hunting (including fishing), yachts, and racing cars. (Excluding yachts and racing cars specially designed for children’s entertainment) 5% billiards, bowling, and other entertainment projects.

Business tax is a tax levied on the turnover obtained by entities and individuals that provide taxable services, transfer intangible assets, or sell real estate in China. Business tax is one of the turnover tax systems Main tax types. On November 17, 2011, the Ministry of Finance and the State Administration of Taxation officially announced the pilot plan for replacing business tax with value-added tax.

The business tax rates for various industries are as follows:

1) Transportation The tax rate for the transportation industry is 3%. Including: land transportation (including railway transportation, road transportation, cable car transportation, ropeway transportation and other land transportation); water transportation; salvage, which is taxed according to water transportation; air transportation The transportation business of transporting goods or passengers through air routes. **Aviation business and aviation ground service business are taxed according to air transportation; pipeline transportation; loading and unloading.

2) The construction industry tax rate is 3%. Including: construction; installation; repair; decoration; other engineering operations.

3) The financial and insurance industry tax rate is 5%. Including: loans (including self-funded loans and re-lending), financial leasing, financial product transfer, financial brokerage and other financial businesses; the mortgage loan business of the pawn industry is taxed as self-funded loans. There is no tax on the loan business of the People's Bank of China.

4) Postal and telecommunications industry The tax rate for the postal and telecommunications industry is 3%. Including: postal services (including delivery of letters or packages, postal remittances, distribution of newspapers and periodicals, sales of postal items, postal savings, and other postal services. Postal departments sell philatelic products and collect business tax); telecommunications (including telegraphs, telexes, telephones, and telephones) installation, sales of telecommunications items and other telecommunications services).

Legal basis:

Legal basis: Article 3 of the "Provisional Regulations of the People's Republic of China on Value-Added Tax" If a taxpayer concurrently operates projects with different tax rates, the different tax rates shall be calculated separately The sales volume of the project; if the sales volume is not calculated separately, the higher tax rate will apply.