Legal analysis: the value-added tax rate of drugs is 17%, and contraceptives are exempt from value-added tax (the tax rate is still 17%, but it is tax-free, not zero), which is unified throughout the country.

Legal basis: Announcement of State Taxation Administration of The People's Republic of China on the Value-added Tax on the Sale of Biological Products by Pharmaceutical Trading Enterprises (People's Republic of China (PRC) State Taxation Administration of The People's Republic of China Announcement No.20, 20 12). Pharmaceutical production enterprises can choose to use simple collection method, the tax rate is 3%, and there is no input deduction (in fact, ordinary taxpayers operate according to small-scale taxpayers). You need to file with the competent tax authorities when choosing, and you can't change it at will.

Classification of VAT rate:

(1) The taxpayer sells or imports goods at a tax rate of 17%, except as stipulated in the second and third items below.

(2) Taxpayers sell or import the following goods at the tax rate of 13%: grain, edible vegetable oil, tap water, heating, cold air, hot water, gas, liquefied petroleum gas, natural gas and biogas;

Coal products, books, newspapers, magazines, feeds, fertilizers, pesticides, agricultural machinery, agricultural films, agricultural products and other goods specified by the State Council.

(3) taxpayers export goods at zero tax rate; However, unless otherwise stipulated by the State Council.

(4) Taxpayers provide processing, repair and replacement services at a tax rate of 17%. Taxpayers engaged in goods or taxable services with different tax rates shall separately account for the sales of goods or taxable services with different tax rates. If the sales volume is not accounted for separately, a higher tax rate shall apply.