Electric power installation from May 1, 2016, from the business tax to value-added tax, value-added tax rate of 11% (general tax method, annual taxable service sales of 5 million yuan and above), small taxpayers apply 3% "levy rate" (annual taxable service sales did not exceed 5 million yuan).
(1) Taxpayers selling or importing goods are subject to a tax rate of 13%, except for the provisions of the second and third items below.
(2) Taxpayers selling or importing the following goods shall be subject to a tax rate of 10%: grain, edible vegetable oil, tap water, heating, cooling, hot water, coal gas, liquefied petroleum gas, natural gas, biogas, coal products for residential use, books, newspapers, magazines, fodder, chemical fertilizers, pesticides, farm machinery, agricultural films, agricultural products, as well as other goods as prescribed by the State Council.
(3) Taxpayers exporting goods shall be subject to a tax rate of zero; however, the State Council shall provide otherwise.
(4) The tax rate for taxpayers to provide processing, repair and fitting services is 13%. Taxpayers concurrently operate goods or taxable labor services with different tax rates.
Expanded InformationSince VAT implements the system of tax deduction with VAT invoices, the accounting level of taxpayers is required to be higher, and they are required to be able to accurately account for output tax, input tax and tax payable.
But the actual situation is that there are many taxpayers can not meet this requirement, so the Provisional Regulations on Value-added Tax of the People's Republic of China divide taxpayers into general taxpayers and small-scale taxpayers according to the size of their business and the soundness of their accounting.
The specific division criteria are: production taxpayers, annual VAT taxable sales of 500,000 yuan; wholesale, retail and other non-production taxpayers, annual VAT taxable sales of 800,000 yuan.
Baidu Encyclopedia - VAT Rates