Provisions of the General Administration of Customs, the Ministry of Finance and the Ministry of Foreign Economic Relations and Trade on the Supervision of Goods Imported and Exported by Sino-Foreign

Provisions of the General Administration of Customs, the Ministry of Finance and the Ministry of Foreign Economic Relations and Trade on the Supervision of Goods Imported and Exported by Sino-Foreign Cooperative Enterprises and on Taxation Exemption Article 1 In order to encourage foreign companies, enterprises and other economic organizations or individuals to come to China to set up Chinese-foreign cooperative enterprises, the introduction of advanced technology and equipment, and to invest in the national need for priority development of the industry, the formulation of these provisions. Article 2 Sino-foreign cooperative enterprises shall register with the Customs of the place where they are located or subdivided (hereinafter referred to as the competent Customs) with the approval documents of the ministries and commissions under the State Council or the competent authorities of the provinces, municipalities and autonomous regions, the business license issued by the business administration department, and the contract (or agreement, hereinafter referred to as the same) signed by the two sides of the cooperation, which has been approved for implementation. Article Chinese-foreign cooperative enterprises in the import and export of goods, should be held by the competent customs registration, signing the contract, and fill out the "import (export) goods declaration" to the import and export customs declaration. Goods belonging to the state regulations need to apply for import (export) license, should also be submitted to the Customs import (export) license, the Customs inspection. Article IV Sino-foreign cooperative enterprises in accordance with the approved contract as foreign investment or additional investment in imported materials, tax exemption in accordance with the following provisions:

(a) Sino-foreign cooperation for the exploitation of marine petroleum imported for exploration, development operations directly for the machines, equipment, spare parts and materials, as well as for the manufacture of mining operations with machines, equipment and materials required to be imported parts and materials, in accordance with the State Council approved "the Provisions on the Import and Export of Goods Subject to Customs Duty and Unified Industrial and Commercial Tax for Chinese-Foreign Cooperative Exploitation of Marine Petroleum" approved by the State Council shall be exempted from import customs duty and unified industrial and commercial tax.

(2) Chinese-foreign cooperative enterprises in the fields of energy development, capital construction of railroads, highways and ports, industry, agriculture, forestry, animal husbandry, aquaculture, deep-sea fishery fishing, scientific research, education and medical and health care shall be exempted from import tariffs and industrial/commercial unified tax on imported parts, components and materials required for the establishment of factories (yards) and for the installation and reinforcement of machinery and equipment, in accordance with the provisions of the contract, which cannot be supplied by the State Council. (b) Import tariffs and unified industrial and commercial taxes shall be exempted.

(3) The building materials, auxiliary equipment for the construction of tourist hotels built by Chinese-foreign cooperation, indoor electrical equipment and other necessary supplies as part of the construction work shall be exempted or reduced from import tariffs and unified industrial and commercial taxes in accordance with the "Provisions on the Exemption of Taxes on Imported Goods for the Purpose of Attracting Overseas Chinese and Foreign Investments for the Construction of Tourist Hotels", which has been approved by the State Council.

(4) The goods imported by Chinese-foreign cooperative business, catering, photographic and other services, maintenance centers, vocational training, passenger and freight car transportation, offshore fishing and other industries shall be subject to import tariffs and unified industrial and commercial taxes according to the regulations.

(E) for foreign investment in imports of daily necessities, office supplies, non-productive means of transportation, as well as belonging to the national restrictions on the import of goods, in addition to conforming to the "on the absorption of overseas Chinese capital, foreign investment in the construction of tourist hotels imported materials tax exemption" to be exempted from taxation, except that they should be levied and collected according to the rules of the import tariffs and uniform tax for industry and commerce. Article 4 (a), (b), (c) of the provisions of Chinese-foreign cooperative enterprises granted

tax exemption or tax reduction of imported machinery, equipment and other materials, should be imported before the competent customs for tax reduction, tax exemption application formalities, issued by the competent Customs certificate of tax reduction or exemption, the customs of the place of importation of tax reduction or exemption with the certificate. Article VI Sino-foreign cooperative enterprises exclusively for the processing of export products imported from abroad raw materials, components

, parts and components, accessories and packaging materials (hereinafter referred to as imported materials, pieces), exempted from import duties and industrial and commercial taxes, secondary products and for other reasons can not be exported to stay in the domestic part of the tax shall be levied in accordance with the rules, and its management in accordance with the Customs and bonded factories in the imported materials processing management provisions for the unified. Article 7 Article 7 The materials and parts imported by Sino-foreign cooperative enterprises for processing of products for domestic sales shall be taxed according to regulations at the time of importation. Article 8 A Sino-foreign cooperative enterprise shall pay export tariffs in accordance with the rules when exporting goods subject to export tariffs. Article 9 Goods imported by a Sino-foreign cooperative enterprise at reduced or exempted duty shall not be sold or transferred without authorization. If they need to be sold or transferred, they shall be approved by the original approval authority and shall go through the procedures of tax reimbursement to the competent customs office according to the regulations. Article 10 Any violation of these provisions by Sino-foreign cooperative enterprises shall be dealt with in accordance with the relevant provisions of the Provisional Customs Law of the People's Republic of China. Article XI of these provisions from February 1, 1984 shall come into force.