Announcement of the Beijing Municipal Office of the State Administration of Taxation and the Beijing Local Taxation Bureau on Issues concerning Invoice Administration Connection after the Replacement of Business Tax with Value-Added Tax

· Document Number：Announcement No. 17 [2016] of the Beijing Municipal Office of the State Administration of Taxation and the Beijing Local Taxation Bureau

· Area of Law： Taxation

· Level of Authority： Local Regulatory Documents

· Date issued：05-19-2016

· Effective Date：05-19-2016

· Status： Effective

· Issuing Authority： Beijing Municipal Office, State Administration of Taxation Beijing Local Taxation Bureau

Announcement of the Beijing Municipal Office of the State Administration of Taxation and the Beijing Local Taxation Bureau on Issues concerning Invoice Administration Connection after the Replacement of Business Tax with Value-Added Tax
(Announcement No. 17 [2016] of the Beijing Municipal Office of the State Administration of Taxation and the Beijing Local Taxation Bureau)
In accordance with the relevant provisions of the Announcement of the State Administration of Taxation on Issues concerning the Administration of Tax Collection after Comprehensively Implementing the Pilot Program of Replacing Business Tax with Value-Added Tax (Announcement No. 23 [2016], SAT) and the Announcement of the State Administration of Taxation on Specifying Several Issues concerning the Administration of Tax Collection during the Implementation of the Pilot Program of Replacing Business Tax with Value-Added Tax (Announcement No. 26 [2016], SAT), the relevant issues concerning invoice administration after the implementation of the pilot program of replacing business tax with value-added tax (“VAT”) are hereby announced as follows:
I. Use period of local tax invoices
(1) Local tax authorities will no longer issue invoices to pilot taxpayers as of May 1, 2016.
(2) The invoices printed by local tax authorities, which have been purchased by taxpayers prior to April 30, 2016, and the invoices printed with the taxpayers' names may be used until June 30, 2016.
The use period of the invoices used by taxpayers that enjoy the policy of VAT exemption (such as hospitals and museums, among others) and printed with the taxpayers' names may be extended appropriately, but may not be later than August 31, 2016.
II. Issues concerningthe surrender and write-offof the invoices that have been issued by local tax authorities
(1) The taxpayers that are to purchase invoices from state tax authorities for the first time may not do so until they have surrendered and written off the invoices that have been issued by local tax authorities.
(2) The taxpayers that have purchased invoices from state tax authorities shall surrender and write off all their invoices that have been issued by local tax authorities before the issuance of state tax invoices.
(3) The taxpayers that issue invoices through the local taxfiscal cash registers shall, before undergoing the invoice surrender and write-off formalities, nullify the blank invoices that have been distributed but not used, and send a copy thereof.
(4) Pilot taxpayers (unless under special circumstances) shall undergo the formalities for surrender and write-off of the remaining local tax invoices prior to June 30, 2016. Taxpayers may undergo the invoice surrender and write-off formalities with both state and local tax authorities.
(5) Pilot taxpayers shall, after completing the formalities for surrender and write-off of the remaining local tax invoices, undergo the formalities for cancellation of tax control instrument with the local tax authorities that originally distributefiscal cash registers.
III. Other relevant issues
(1) From May 1, 2016, the pilot taxpayers that need to continue to print the invoices printed with their names shall undergo the recordation formalities with the competent state tax authorities.
(2) After May 1, 2016,the taxpayers that conduct illegal actsin the process of using local tax invoices shall be handled by the competent state tax authorities in accordance with the relevant provisions of the Measures of the People's Republic of China for the Administration of Invoices.
(3) The taxpayers that fail to submit as required the data on the local tax invoices issued shall be handled by local tax authorities in accordance with the relevant provisions of the Measures of the People's Republic of China for the Administration of Invoices.
(4) The lottery-attached invoicesissued by local tax authorities shall be cashed by the local tax authorities themselves.
This Announcement shall come into force on the date of issuance. The Announcement of the Beijing Municipal Office of the State Administration of Taxation and the Beijing Local Taxation Bureau on Issues concerning Invoice Administration after the Replacement of Business Tax with Value-Added Tax (Announcement No. 11 [2016], Beijing Municipal Office, SAT) shall be repealed concurrently.
May 19, 2016