Legal analysis: need. Both sides of the procurement contract to pay stamp duty.
Legal basis: "The People's Republic of China *** and the State Stamp Duty Law"
Article 1 In the People's Republic of China *** and the State within the establishment of taxable certificates, securities transactions, units and individuals, for the stamp duty taxpayers, shall be in accordance with the provisions of this law to pay the stamp duty. Units and individuals outside the People's Republic of China that have written taxable certificates for use within the country shall pay stamp duty in accordance with the provisions of this Law.
Article 5 The basis for the calculation of stamp duty shall be as follows:
(1) The basis for the calculation of tax on a taxable contract shall be the amount listed in the contract, excluding the value-added tax (VAT) specified;
(2) The basis for the calculation of tax on a taxable document for the transfer of property rights shall be the amount listed in the document for the transfer of property rights, excluding the VAT specified;
(3) The basis for the calculation of tax on a taxable business book shall be the amount recorded in the book of account, excluding the VAT. (C) the taxable business books, for the books recorded in the paid-in capital (share capital), the total amount of capital surplus;
(D) the tax basis for securities transactions, for the transaction amount.