Question 1: What is exempted from value-added tax I. The following items are exempted from value-added tax:
(1) Self-produced agricultural products sold by agricultural producers. It refers to the self-produced agricultural products listed in the "Notes on the Scope of Taxation of Agricultural Products" sold by the units and individuals directly engaged in plant cultivation and harvesting, and animal breeding and fishing; the purchased agricultural products sold by the above units and individuals, as well as the units and individuals who purchased agricultural products and sold them after production and processing, which still belong to the agricultural products listed in the Notes, do not fall within the scope of tax exemption. products listed in the Notes, do not fall within the scope of tax exemption and shall be subject to value-added tax at the prescribed rate.
(ii) Contraceptive drugs and appliances.
(iii) Antique books. It means antique and old books acquired from the society.
(iv) Imported instruments and equipment directly used for scientific research, scientific experiments and teaching.
(E), foreign ***, international organizations, free assistance to imported materials and equipment.
(F), material processing, assembly and compensation for the import of equipment required for trade.
(vii), directly imported by organizations of persons with disabilities for the exclusive use of persons with disabilities. Specifically, prosthetic limbs, wheelchairs and orthopedic devices (including upper limb orthopedic devices, lower limb orthopedic devices and scoliosis orthopedic devices) for the exclusive use of persons with disabilities are exempted from value-added tax.
(viii) Individuals with disabilities are exempted from value-added tax on the provision of processing, repair and fitting services
(ix) Sales of self-used articles.
1. Starting from January 1, 2002, taxpayers selling used goods (including sales of used goods by used goods business units and sales of taxable fixed assets used by the taxpayers themselves), regardless of whether they are general VAT taxpayers or small-sized taxpayers, and regardless of whether they are approved and recognized as pilot units for the transfer of used goods, will be subject to a halved VAT at a rate of 4%, with no deduction of the input tax.
Taxable fixed assets are relative to tax-exempt fixed assets, tax-exempt fixed assets are defined as the following conditions: ① goods listed in the fixed assets catalog of the enterprise; ② enterprise management by fixed assets, and indeed used goods; ③ sales price does not exceed its original value of the goods.
2. From January 1, 2002, taxpayers selling their own used motor vehicles, motorcycles, yachts subject to consumption tax, the sale price of more than the original value of the tax rate of 4% halved value-added tax; the sale price is not more than the original value of the value-added tax exemption. The sales of used motor vehicles, motorcycles and yachts by used motor vehicle business units shall be subject to value-added tax at a reduced rate of 4%.
II. Goods of agricultural production materials are exempted from value-added tax (VAT)
(a) Agricultural films
(b) Nitrogen fertilizers other than urea, phosphorus fertilizers other than diammonium phosphate, potash fertilizers, and compound fertilizers with tax-exempted fertilizers as the main raw material, which are produced and sold (the cost of the tax-exempted fertilizers used by an enterprise to produce compound fertilizers is higher than 70% of the cost of all the fertilizers used in the raw material). "Compound Fertilizer" refers to fertilizers made by chemical or physical methods with less than two of the three nutrients of nitrogen, phosphorus and potassium in the indicated amount, including compound fertilizers made by chemical methods only and mixed fertilizers (also known as blended fertilizers) made by physical methods only. Tax administrators should do a good job of collecting and storing relevant information for inspection.
(3), the production and sale of abamectin, aminopyralid, chlorothalonil, phenothiazoxystrobin, bensulfuron, oxacillin, imidacloprid, propylene chrysanthemum, pyridaben, diclofop, diclofop, diclofop, aminopyralid, aminopyralid, amidacloprid, doxycycline, doxyfenacillin, dimetryn, diazinphos-methyl, fenarafos, fluromyl, high efficiency chlorantraniliprole, acetophenazole, meadolachlor, methiocarb, methyl thiomyl, isothiocyclophos-methyl, methyl(ethyl)base Chlorpyrifos, Methyl(ethyl)pyrimethanil, Fenoxaprop, Quizalofop, Inocarb, Misonidazole, Methomyl, Mirex, Mirex, Alfalfa silver-striped nightshade nucleopolyhedrin, Thifensulfuron, Cyfluthrin, Triazophos, Triazolone, Insecticide, Early Dinocarb, cis-Cypermethrin, Aldicarb, Alconazole, Phosphorus Simphosporium, Octenphos, Captobromobenzene Nitrile, Isovaleryl, Ethyl-Alpha-Combined, Ethopropanes, Acetamiprid, Atrazine. Dexamethasone.
(D), wholesale and retail seeds, seedlings, fertilizers, pesticides, agricultural machinery (excluding agricultural machinery accessories).
Three, sewage treatment fees are exempted from value-added tax policy
Since July 1, 2001, the competent authorities at all levels *** entrusted the waterworks (companies) with water charges collected with the sewage treatment fees, exempted from value-added tax.
Four, rural power grid maintenance fees are exempted from VAT
The rural power grid maintenance fees (including low-voltage line loss and maintenance fees and electrician's expenses) charged by the power supply department to the users together with the electricity tariff are exempted from VAT.
V. Starting from October 1, 2012, some fresh and live meat and egg products are exempted from value-added tax (VAT) in the distribution chain.
(1) Taxpayers engaged in the wholesale and retail of agricultural products are exempted from VAT on the sales of some fresh and live meat and egg products.
The fresh and live meat products exempted from VAT refer to pigs, cows, sheep, chickens, ...... >>
Question 2: What are the common VAT exemptions At present, the VAT preferential policies mainly include direct tax exemption, tax reduction, and instant tax refund. Let me take you to see what are the common tax exemptions!
Direct tax exemption items
1. Agricultural producers selling self-produced agricultural products;
2. Contraceptive drugs and appliances;
3. Antique and old books: antique and old books acquired from the community;
4. Imported instruments and equipment directly used for scientific research, scientific experiments and teaching;
5. Foreign ***, International organizations gratuitous assistance of imported materials and equipment;
6. Directly imported by organizations of disabled persons for the exclusive use of disabled persons;
7. Other individuals to sell their own used items;
8. Undertake the task of grain storage and purchase of state-owned grain sales enterprises to sell grain;
9. Engaged in the sale of wholesale and retail of vegetables, vegetables sold by taxpayers; (Canned vegetables are not exempted)
10. Clinical blood supplied to medical institutions by blood stations;
11. Self-produced preparations for self-use by non-profit medical institutions;
12. Self-produced preparations for self-use by for-profit medical institutions within three years;
13. Repairing of wagons for the system by units within the railroad system;
14. Heat supply Enterprises to supply heat to the residents of individual heating fees;
15. Power supply departments or enterprises in the collection of electricity tariffs charged to the user of the rural power grid maintenance fees
16. production and sales of tax-exempt feed products: a single bulk feed, mixed feed, compound feed, compound premix, concentrated feed; (pet feed is not tax-exempt)
Transitional policy for the change of business regulations Tax-exempted items
(a) Childcare and education services provided by nurseries and kindergartens.
(ii) Nursing care services provided by nursing institutions.
(3) Nursing services provided by welfare organizations for the disabled.
(iv) Marriage introduction services.
(v) Funeral services.
(vi) Services provided by disabled persons themselves for the society.
(vii) Medical services provided by medical institutions.
(viii) Educational services provided by schools engaged in academic education.
(ix) Services provided by students working and studying.
(x) Agricultural mechanization, drainage and irrigation, pest control, plant protection, agricultural and animal husbandry insurance, as well as related technical training services, breeding and disease control of poultry, livestock and aquatic animals.
(xi) Revenues from first-pass tickets obtained by memorials, museums, cultural centers, management agencies of cultural relics protection units, art galleries, exhibition halls, painting and calligraphy institutes, and libraries that provide cultural and sports services on their own premises.
(xii) Revenue from admission fees for cultural and religious activities organized by monasteries, palaces, *** temples and churches.
(xiii) *** funds and administrative fees collected by units other than administrative units that meet the conditions set forth in Article 10 of the Pilot Implementation Measures.
(xiv) Individual transfer of copyright.
(xv) Individual sales of self-built housing for personal use.
(xvi) Renting of public **** rental housing by public **** rental housing operation and management units before December 31, 2018
(xvii) Transportation revenues earned on the mainland by Taiwan shipping companies and airlines engaged in cross-strait direct sea and air flights.
(xviii) Taxpayers to provide direct or indirect international cargo transportation agency services.
(xix) Interest income from the following.
1. Before December 31, 2016, small loans for agricultural households of financial institutions.
2. National student loans.
3. State bonds and local *** bonds.
4. The People's Bank of loans to financial institutions.
5. Individual housing loans issued by the Housing Provident Fund Management Center with the Housing Provident Fund at designated commissioned banks.
6. Foreign exchange management department in the process of foreign exchange reserve management, commissioned by the financial institutions to issue foreign exchange loans.
7. In the business of unified borrowing and repayment, the interest charged by the enterprise group or the core enterprise in the enterprise group as well as the finance company belonging to the group to the enterprise group or the subordinate units within the group at a level not higher than the level of interest rate of the borrowing rate paid to the financial institution or the level of interest rate of the coupon rate of the bonds paid.
(xx) The revoked financial institution settles its debts with goods, real estate, intangible assets, marketable securities, notes and other property.
(xxi) Premium income earned by insurance companies on life insurance products with a term of more than one year.
(xxii) Income from the transfer of the following financial instruments.
1. Qualified Foreign Investors (QFII) entrusting domestic companies to engage in the business of securities trading in China.
2. Hong Kong market investors (including units and individuals) through the Shanghai-Hong Kong Stock Connect to buy and sell A shares listed on the Shanghai Stock Exchange.
3. For Hong Kong market investors (including units and individuals) to buy and sell mainland fund shares through mutual recognition of funds.
4. Securities investment fund (closed-end securities investment fund, open-end securities investment fund) managers use the fund to buy and sell stocks and bonds.
5. Individuals engaged in the transfer of financial instruments.
(xxiii) Interest income from financial interbank transactions.
(xxiv) while meeting the following conditions ...... >>
Question 3: What is not applicable to the exemption of value-added tax policy The export enterprises sell to the winning mechanical and electrical products used in the international bidding construction projects of the international financial organizations or foreign *** loans, and the exemption of value-added tax policy is not applicable. imported materials and equipment; (vi) equipment imported for processing with supplied materials, assembling with supplied parts and compensatory trade; (vii) articles directly imported by disabled persons' organizations for the exclusive use of disabled persons; and (viii) articles sold for one's own use. Except for the provisions of the preceding paragraph, the tax exemptions and reductions of value-added tax shall be prescribed by the State Council, and no region or department may prescribe tax exemptions or reductions."
Question 4: What conditions can be exempted from VAT 1. Tax-exempt items stipulated in the Provisional Regulations on Value-added Tax (VAT): 7 items (1) Self-produced agricultural products sold by agricultural producers; (2) Contraceptive medicines and paraphernalia; (3) Ancient and old books; Ancient and old books, which means ancient and old books acquired from the society. (4) Imported instruments and equipment directly used for scientific research, scientific experiments and teaching; (5) Imported goods and equipment freely assisted by foreign countries *** and international organizations; (6) Goods directly imported by organizations for the exclusive use of persons with disabilities; (7) Goods sold for their own use. Self-used articles refer to articles used by other individuals themselves. 2. Ministry of Finance, the State Administration of Taxation of other tax exemptions: 15 (1) comprehensive utilization of resources, renewable resources, to encourage energy conservation and emission reduction ① VAT exemption for self-produced goods (eg: recycled water; waste tires as all raw materials for the production of rubber powder; retreaded tires) ② VAT-exempt services (eg: sewage services) (2) the provisions of the value-added tax concessions for the publicity and cultural undertakings (3) Taxpayers are exempted from VAT on the production, sale, wholesale and retail of organic fertilizers (4) Financial leasing business (5) Transfer of all property rights of enterprises involved in the transfer of taxable goods is not subject to VAT. (6) VAT policy on one-off fees charged by VAT payers engaged in public utilities such as heat, electricity, gas and water. (7) Fees charged by taxpayers on behalf of the administration are not subject to VAT if they meet the conditions. (8) Insurance premiums charged to purchasers by taxpayers selling goods while providing insurance on behalf of purchasers, as well as vehicle purchase tax and license fee charged to purchasers by taxpayers engaged in automobile sales on behalf of purchasers are not subject to VAT as out-of-the-money expenses. (9) Taxpayers selling software products and collecting software installation fees, maintenance fees, training fees and other incomes along with the sales shall levy VAT in accordance with the relevant provisions on mixed sales of VAT, and can enjoy the policy of instant VAT refund for software products. After the software products are delivered and used, no VAT shall be levied on the maintenance, technical service fee, training fee, etc., which are collected on a periodical or subperiodical basis. If a taxpayer is entrusted with the development of software products, the copyright belongs to the entrusted party, and the copyright belongs to the entrusted party or to both parties *** together, no VAT is levied. (10) Printing enterprises accepting commissions from publishing units, purchasing paper on their own and printing books, newspapers and magazines with uniform serial numbers (CN) as well as books, newspapers and magazines sequenced with international standard book numbers are subject to VAT on the basis of sales of goods. Printing company printing books, newspapers, magazines and books and newspapers, divided into two cases: ① paper is provided by the printing company, the tax rate of 13%; ② paper provided by the publishing unit, the tax rate of 17%; in addition, the printing company can also print information, letterheads, etc., no matter which party provides the raw materials, the tax rate is uniformly 17%. (11) VAT is not levied on income from membership fees collected by VAT payers.
Added: Domestic enterprises that meet the prescribed conditions for the production of large-scale environmental protection and comprehensive utilization of resources to support the development of equipment and other enumerated goods and it is necessary to import some of the key components and raw materials, exempted from customs duties and import VAT
1, lower than the starting point of the business, 2, the operation of tax-exempted commodities, 3, production of tax-exempted commodities. Anyone who meets the conditions can apply for the exemption.
Question 5: What are the preferential policies on value-added tax Article 16 of the Provisional Regulations of the People's Republic of China on Value-added Tax (VAT) stipulates: "The following items are exempted from value-added tax: (a) self-produced agricultural products sold by agricultural producers; (b) contraceptive medicines and paraphernalia; (c) antique books; (d) imported instruments and equipment that are directly used in scientific research, scientific experiments and teaching (d) imported instruments and equipment directly used for scientific research, scientific experiments and teaching; (e) imported materials and equipment freely assisted by foreign countries *** and international organizations; (f) imported equipment required for processing of incoming raw materials, assembling of incoming parts and compensatory trade; (g) articles directly imported by disabled persons' organizations for the exclusive use of disabled persons; and (h) sales of articles used by themselves. Except for the provisions of the preceding paragraph, the tax exemptions and reductions of value-added tax shall be prescribed by the State Council, and no region or department shall prescribe tax exemptions or reductions."
According to the provisions of the above article, in order to support the development of certain industries and enterprises, China has formulated some preferential policies in respect of value-added tax (VAT), and in the preferential method, there are those who give tax exemption directly, and there are those who levy tax first and then return the tax.In 1998, this column had made a special introduction to the preferential policies of value-added tax, in view of the large adjustment of the tax policy in the recent years, some preferential policies have been invalidated, and new In view of the large adjustment of tax policies in recent years, some preferential policies have been invalidated and new preferential policies have been introduced one after another, in order to facilitate the taxpayers to understand and master the existing preferential policies of VAT, the contents are introduced as follows.
I. Preferential Policies for Civil Affairs Welfare Enterprises and School-run Enterprises
(1) Civil Affairs Welfare Enterprises. Welfare enterprises organized by the civil affairs departments, streets, townships, resettlement of four disabled persons accounted for more than 35% of the enterprise production staff, a sound management system, the establishment of a "four tables and a book", namely, the basic situation of the enterprise table, the disabled workers work arrangement table, the enterprise staff salary table, profit and tax use distribution table, disabled workers roster, and by the civil affairs, If the enterprise is accepted by the civil affairs and taxation departments and issued with a Social Welfare Enterprise Certificate, it can enjoy the preferential policies on VAT granted by the State (civil affairs welfare enterprises engaging in the wholesale and retail of commodities cannot enjoy these policies). The degree of preferential policies for enterprises with four disabled persons is different: if the four disabled persons account for more than 50% of the production staff of the enterprise, the enterprise shall first pay the VAT due to the tax authorities according to the provisions of the tax law, and then return all the VAT paid after the examination by the tax authorities; if the proportion of the four disabled persons is more than 35%, but not up to 50%, the enterprise may be granted partial VAT preferential policies if the enterprise incurs a loss, and the enterprise may also be granted partial VAT preferential policies for the four disabled persons. If the proportion of persons with four disabilities exceeds 35% but does not reach 50%, if the enterprise incurs a loss, it may be given a partial or full refund of the collected VAT, and the specific proportion shall be limited to the extent that it does not incur a loss. However, the following items of civil welfare enterprises are not entitled to the above tax concessions: production and sale of goods subject to consumption tax by civil welfare industrial enterprises, direct sale of purchased goods and commissioned processing of goods by foreign organizations, and sale of exported goods to foreign trade enterprises or other enterprises.
(ii) school-run enterprises. To be able to enjoy the following preferential policies for school-run enterprises, must be a school-run enterprises organized by the education sector under the general education category of schools, excluding private staff schools and various types of adult schools (e-learning universities, night schools, industrial universities, enterprises organized by the staff school, etc.) organized by the school-run enterprises; the second school-funded by the school responsible for the operation and management of business income to the school all. The original taxpaying enterprises turned into school-run enterprises, schools absorbing outside investment on the basis of the original school-run enterprises organized by the joint venture, schools and other enterprises, units, individuals jointly organized by the enterprise, the school will be the school-run enterprises sublet or contracted to outside units, individuals, shall not be entitled to enjoy the preferential tax policies of the school-run enterprises. Taxable goods produced by school-run enterprises that are used in the teaching and scientific research of the school shall be exempted from value-added tax after strict examination and confirmation.
II. Prosthetic limbs, wheelchairs and orthopedic devices for the exclusive use of disabled persons are exempted from value-added tax. Individuals with disabilities are exempted from value-added tax on the provision of processing and repair and fitting services.
Thirdly, the production and distribution units of the national designated enterprises (see the annex to Cai Shui Zi No. 060 of 1994, "Circular of the Ministry of Finance and the State Administration of Taxation on Several Issues of Tax Policy on Value-added Tax") are exempted from value-added tax on the border teas which are exclusively for the consumption of the ethnic minorities. Border Tea refers to tightly pressed tea made of black tea, black tea, old green tea and green tea steamed, pressurized, fermented and pressed into different shapes, which is specially sold to the border ethnic minority areas. The preferential VAT policy was implemented until the end of 2005.
Four, on the waste materials recycling business units to sell their acquisition of waste materials exempt from value-added tax. Waste materials, refers to all kinds of waste materials produced in the process of social production and consumption, including after selection, organization and other simple processing of all kinds of waste materials. Products processed and produced with waste materials do not enjoy the policy of VAT exemption for waste materials. Waste materials recycling business units should be waste materials and other goods accounted for separately, can not be accurately accounted for separately, shall not enjoy the benefits.
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Question 6: What is included in the VAT exemption for agricultural enterprises in 2014 The tax-exempt items stipulated in the Provisional Regulations on Value-added Tax (VAT): 7 items
(1) Self-produced agricultural products sold by agricultural producers;
Specific items are as follows:
Agricultural products refer to the various kinds of plants produced by the planting industry, aquaculture, forestry, animal husbandry and aquaculture industry, primary products of animals. The scope of taxation of agricultural products includes:
I. Plants
Plants include primary products of all kinds of artificially planted and naturally grown plants. The specific scope of taxation is:
(I) Grain
Grain is a general term for all kinds of plant fruits of the staple food food family. The scope of taxation of these goods includes wheat, rice, corn, sorghum, grain and other miscellaneous grains (e.g., barley, oats, etc.), as well as grains processed by milling, hulling and other processes (e.g., flour, rice, cornmeal, pomace, etc.).
Cut noodles, dumpling skins, wonton skins, pasta skins, rice flour and other grain replicas also fall under the scope of taxation of these goods.
Quick-frozen food, instant noodles, non-staple food and all kinds of cooked food processed with grain as raw material are not within the scope of taxation of these goods.
(2) Vegetables
Vegetables is a general term for grass and woody plants that can be used as side dishes. The scope of taxation of these goods includes all kinds of vegetables, fungus plants and a few woody plants that can be used as side dishes.
Vegetables processed by drying, refrigerating, freezing, packing, dehydrating and other processes, pickles, salted vegetables, pickles and salted vegetables, etc., also fall within the scope of taxation of the goods.
All kinds of canned vegetables (canned means all kinds of foodstuffs packed in metal cans, glass jars and other materials and sealed by exhaust. The same hereinafter) does not fall within the scope of taxation of these goods.
(C) Tobacco
Tobacco refers to all kinds of tobacco and leaves and simply processed leaves. The scope of taxation of these goods includes sun-dried tobacco leaves, drying tobacco leaves and first-roasted tobacco leaves.
1, sun-dried tobacco leaves, refers to the use of solar energy open-air sun-dried tobacco leaves.
2, drying tobacco, refers to the natural drying of tobacco in the drying room.
3, first-roasted tobacco, refers to tobacco growers directly roasted tobacco, excluding professional re-roasting plant roasted re-roasted tobacco.
(4) Tea
Tea refers to fresh leaves and young shoots (i.e., tea green) picked from the tea tree and tea firstly made through the processes of blow-drying, kneading, fermentation and drying. The scope of levy of these goods includes all kinds of gross tea (e.g. black gross tea, green gross tea, oolong gross tea, white gross tea, black gross tea, etc.).
Refined tea, marginal tea and tea and tea beverages mixed with various medicines do not fall within the scope of taxation of these goods.
(E) Horticultural Plants
Horticultural plants refer to edible fruits, such as fruits, dried fruits (e.g., dried lychee, dried cinnamon, dried raisins, etc.), dried fruits, nuts, melons used for fruits (e.g., melons, watermelons, cantaloupes, etc.), as well as peppercorns, peppercorns, dahlgrens, coffee beans and so on.
Horticultural plants processed by freezing, refrigerating, packaging and other processes also fall within the scope of taxation of these goods.
All kinds of canned fruits, dried fruits, candied fruits, fried nuts and nuts, milled horticultural plants (such as pepper, pepper powder, etc.) are not included in the scope of taxation of these goods.
(F) Medicinal Plants
Medicinal plants refer to the roots, stems, skins, leaves, flowers and fruits of all kinds of plants used as the original of traditional Chinese medicine.
The slices, silk, blocks, segments and other Chinese medicine tablets made from the processing of the above medicinal plants also fall within the scope of taxation of the goods.
Proprietary Chinese medicines do not fall within the scope of taxation of these goods.
(VII) Oilseed Plants
Oilseed plants refer to the primary products such as roots, stems, leaves, fruits, flowers or germ tissues of all kinds of plants which are mainly used for extracting oil and grease, such as rapeseed (including mustard seeds), peanuts, soybeans, sunflower seeds, castor seeds, sesame seeds, hu ma seeds, chai seeds, tung seeds, olive kernels, palm kernels, cottonseeds and so on.
Aromatic oleaginous plants from which aromatic oils are extracted also fall within the scope of taxation of these goods.
(H) fiber plants
Fiber plants refers to the use of their fibers as textile, paper raw materials or rope plants, such as cotton (including seed cotton, lint cotton, flocculent cotton), hemp, jute, hibiscus hemp, ningma, hemp, abutilonium, flax, rooibos, plantain, sisal, etc..
Cotton short staple and hemp fiber after degumming of fine dried (washed) hemp, also belongs to the scope of taxation of this goods.
(IX) Sugar Plants
Sugar plants refer to all kinds of plants that are mainly used for sugar production, such as sugarcane and sugar beet.
(j) Forestry Products
Forestry products refer to trees, shrubs and bamboo plants, as well as natural resins and natural rubber. The scope of taxation of forestry products includes:
1. Logs. It refers to the cutting down of trees to remove their branches and buds, tips or skin of trees and shrubs, as well as sawn into a certain length of wood segments.
Sawn timber does not fall within the scope of taxation of this goods.
2. Raw bamboo. It refers to bamboo plants that are cut down to remove their branches, tips or leaves, as well as sawn into certain ...... >>
Question 7: What are the benefits of VAT exemption? VAT exemption does not mean no invoicing, but exemption from sales tax on sales, invoices issued ordinary invoices. Otherwise, you do not invoice the other business can not do the accounts
Exempt enterprise input tax can not be deducted, to input tax transfer out to the cost
Algorithm is that the purchase expenditure 117, 17 input tax to input tax transfer out. Sales revenue of 234, exempt 34 of sales tax, the final cash inflow is 234-117 = 117, more than chicken often commodity flows of 100
Question 8: What is the difference between zero-rate VAT and exempt VAT? Zero-rate: it means that there is a tax obligation, except that since the tax rate is "0", the amount of tax due is calculated to be 0.
Tax-exempt: it means that there is an exemption from the tax obligation.
There is an important difference between the two: although both methods seem to be special provisions to encourage, support or take care of certain taxpayers or taxable objects. However, as VAT has a chain principle, tax exemption because no output tax is levied, while input tax is not deductible should be transferred out. And 0 tax rate, the chain is not broken, so it is unnecessary to carry out the input transfer out, in order to produce 0 tax rate and the purchase of products, etc. of the input is deductible.
Example: exporting goods. Since it is 0% tax rate, export is eligible for tax refund.
Question 9: What industries are now tax exempt? The only ones that are exempt from tax are the agricultural industry, the other exemptions are not by industry