Commissioned processing of materials refers to the enterprise commissioned the processing of new materials or packaging, low-value consumables and other materials. The cost of commissioned materials should include the actual cost of materials consumed in the processing, the payment of processing costs and freight and miscellaneous expenses, taxes paid. Entrusted processing Entrusted processing refers to the entrusted party to provide raw materials and main materials, the entrusted party only part of the auxiliary materials, according to the requirements of the entrusted party to process the goods and collect processing fees of business activities. However, for the products produced by the entrusted party to provide raw materials, or the entrusted party to sell the raw materials to the entrusted party first, and then accept the processing of the products, as well as by the entrusted party in the name of the entrusted party to purchase raw materials for the production of products, regardless of whether the financial sales processing, shall not be entrusted as the processing of the products, and should be in accordance with the sale of self-manufactured products to collect the value-added tax