Tax Treatment Methods For Exhibition Exhibits Of Foreign Enterprises

A small number of exhibits sold by foreign companies to China will be available.

With regard to the participation or holding of exhibitions and exhibitions by foreign enterprises in China (hereinafter referred to as exhibitions), the exhibits will be sold directly in our territory after the exhibition is completed, and the relevant tax treatment issues for exhibitions, exhibitions and sales of commodities will be held as follows:

According to Article 1 of the Provisional Regulations of the People's Republic of China on value added tax, foreign enterprises shall pay VAT according to the regulations if they sell the exhibits directly or sell goods during the exhibition.

Considering that these foreign enterprises are relatively short in China, they are temporary taxable activities, and the number of exhibits or commodities sold is limited. Therefore, the above sales exhibits or commodities can be collected according to the 6% levy rate applied by small-scale taxpayers.

Two, foreign enterprises to China to participate in exhibitions, sales of a small number of exhibits can be exempted from corporate income tax.

If a foreign enterprise comes to China to participate in the exhibition and sells its products, it shall collect enterprise income tax as a commodity for sale in the place of business.

If the taxable income can not be accurately accounted for, the taxable income shall be approved at a profit rate of not less than 10% of the sales revenue of the commodity, and the enterprise income tax shall be calculated.