Q: My company is a general taxpayer and is engaged in product processing and sales. The products need to be delivered to field construction sites for door-to-door installation. Therefore, we often hire private freight vehicles for transportation. The freight payment is partly in cash and partly in gas. The card and fuel card are purchased by my company from an oil company and I have obtained a special invoice for 17% value-added tax. Can this be used as an input tax deduction? Q&A from Anhui National Taxation Using a fuel card to pay freight is, in essence, exchanging ownership of oil for transportation services. It is essentially an act of barter, so the fuel card should be sold when paying with a fuel card. The VAT is paid. Under this premise, the input tax on the fuel card can be deducted. Xiao Chen’s tax advice: 1. If you use a fuel card to pay freight, you need to sell the fuel card to pay VAT and confirm the income. The input tax on the fuel card can be deducted and deducted before tax. One output item and one input item, which is equivalent to no Input tax deduction; one income per cost, which is equivalent to no pre-tax deduction. On the contrary, the transportation cost of the corporate income tax, which is equal to the fuel cost, is deducted before tax. 2. By the way: If the lease contract stipulates that the lessee shall bear the fuel costs and repair costs, the input tax on the fuel costs and repair costs paid by the lessee for renting the vehicle in the form of operating lease is allowed to be deducted.