Circular of the Ministry of Industry and Information Technology, the Ministry of Finance, the General Administration of Customs, the State Taxation Administration and the National Energy Administration on Issuing the Implementing Rules for the Administrative Measures for the Import Duty Policy on Key Technical Equipment
Circular of the Ministry of Industry and Information Technology, the Ministry of Finance, the General Administration of Customs, the State Taxation Administration and the National Energy Administration on Issuing the Implementing Rules for the Administrative Measures for the Import Duty Policy on Key Technical Equipment
Circular of the Ministry of Industry and Information Technology, the Ministry of Finance, the General Administration of Customs, the State Taxation Administration and the National Energy Administration on Issuing the Implementing Rules for the Administrative Measures for the Import Duty Policy on Key Technical Equipment
Gong Xin Bu Lian Cai [2020] No.118
July 24, 2020
Authorities for industry and information technology and departments (bureaus) of finance of all provinces, autonomous regions, municipalities directly under the Central Government, cities specifically designated in the State plan and the Xinjiang Production and Construction Corps, Guangdong Sub-Administration of the General Administration of Customs and all local customs offices directly under the General Administration of Customs, offices of the State Taxation Administration of all provinces, autonomous regions, municipalities directly under the Central Government and cities specifically designated in the State plan, local regulatory bureaus of the Ministry of Finance, and all local commissioners' offices of the State Taxation Administration,
In accordance with the relevant requirements of the Circular of the Ministry of Finance, the Ministry of Industry and Information Technology, the General Administration of Customs, the State Taxation Administration and the National Energy Administration on Issuing the Administrative Measures for the Import Duty Policy on Key Technical Equipment (Cai Guan Shui [2020] No.2), the Implementing Rules for the Administrative Measures for the Import Duty Policy on Key Technical Equipment have been drafted by the Ministry of Industry and Information Technology, the Ministry of Finance, the General Administration of Customs, the State Taxation Administration and the National Energy Administration to support the development of China's key technical equipment manufacturing sector, which are hereby issued and shall come into force as of August 1, 2020.
The Circular on Adjusting the Procedures for Processing Applications for the Import Duty Policy on Key Technical Equipment and Other Matters (Gong Xin Ting Lian Cai [2016] No.40) shall be repealed simultaneously.
Implementing Rules for the Administrative Measures for the Import Duty Policy on Key Technical Equipment
Chapter I General Provisions
Article 1 These Rules are enacted in accordance with the Circular of the Ministry of Finance, the Ministry of Industry and Information Technology, the General Administration of Customs, the State Taxation Administration and the National Energy Administration on Issuing the Administrative Measures for the Import Duty Policy on Key Technical Equipment (Cai Guan Shui [2020] No.2) to implement the import duty policy on key technical equipment (the “Policy”).
Article 2 These Rules are subject to the making and revision by the Ministry of Industry and Information Technology (“MIIT”) jointly with the Ministry of Finance ( “MOF”), the General Administration of Customs (“GAC”), the State Taxation Administration ( “STA”) and the National Energy Administration (“NEA”), and authorities for industry and information technology at the provincial level (including at the level of a city specifically designated in the State plan, hereinafter the same and referred to as the “provincial authorities for industry and information technology”) shall, together with the departments (bureaus) of finance at the provincial level (the “provincial departments (bureaus) of finance”), local customs offices directly under the GAC (the “local GAC offices”), and tax authorities at the provincial level (the “provincial tax authorities”), effectively carry out relevant work in accordance with these Rules.
Article 3 An enterprise applying for entitlement to the import duty policy on key technical equipment shall generally be an enterprise manufacturing any key technical equipment or product that is supported by the State for development, and committing to having a strong capacity in design, research & development (“R&D”) and manufacturing as well as a technical team covering a full range of specialisms, while meeting all of the following conditions:
1. It has an independent legal personality;
2. It has no prior record of lawbreaking or gross discreditable conduct;
3. It has proprietary core technology and intellectual property; and
4. The key technical equipment or product subject to the application for entitlement to the Policy meets relevant requirements set out in the Catalogue of Key Technical Equipment and Products Supported by the State for Development.
Nuclear power project owners applying for entitlement to the import duty policy on key technical equipment shall be those in the nuclear power sector who undertakes a key technical equipment-backed project.
Chapter II Application Procedures for Duty Exemption Qualification
Article 4 The determination of the duty exemption qualification of enterprises and nuclear power project owners newly applying for entitlement to the Policy shall be organized once a year.
Article 5 Enterprises and nuclear power project owners newly applying for entitlement to the Policy shall, based on any relevant catalogue issued under the import duty policy on key technical equipment to take effect from January 1 of the following year, submit a Report for Application for Entitlement to the Import Duty Policy on Key Technical Equipment (see Appendix 1 hereto) during the period between August 1 and August 31 of the current year. Local enterprises shall submit their report for application to the MIIT via the local provincial authority for industry and information technology in the place where they are located; and enterprises or nuclear power project owners affiliated to a central enterprise group shall submit their report for application to the MIIT via the central enterprise group.
Article 6 A provincial authority for industry and information technology or central enterprise group shall, after receiving a report for application, examine against relevant requirements provided in Appendix 1 hereto, whether the report for application complies with established standards and is complete, as well as whether any material submitted is valid. The provincial authority for industry and information technology shall examine the report for application together with the local GAC office, provincial department (bureau) of finance and provincial tax authority in the place where the applicant is located. If the report for application fails to comply with requirements, the provincial authority for industry and information technology or central enterprise group shall notify the applying enterprise or nuclear power project owner all at once, of any material that needs to be corrected or additionally submitted, and the enterprise or nuclear power project owner shall in turn submit any corrected or additional material needed within five working days. If the report for application or any corrected or additional material needed is not submitted by the enterprise or nuclear power plant owner in compliance with requirements, the provincial authority for industry and information technology or central enterprise group shall not accept the application.
Article 7 Provincial authorities for industry and information technology and central enterprise groups shall submit the reports for application examined by them to the MIIT by September 30 of each year.
Article 8 After receiving the reports for application submitted, the MIIT shall, together with the MOF, the GAC, the STA and the NEA, organize relevant industry experts to determine the duty exemption qualification of any applying enterprise or nuclear power project owner based on the requirements set out in Article 3 hereof and through examination of the submitted documentation, oral examination and other forms to produce expert review opinions.
Article 9 Based on the expert review opinions produced, the MIIT shall, together with the MOF, the GAC, the STA and the NEA, jointly research and determine a list of enterprises and nuclear power project owners to be newly entitled to the Policy in the following year, as well as the duration of their entitlement to the Policy and the time for re-examination of their duty exemption qualification, and then the MIIT shall notify the GAC by letter of such information by November 30 of each year, with a copy thereof sent to the STA, the NEA, provincial authorities for industry and information technology and central enterprise groups. Enterprises and nuclear power project owners on the list shall be entitled to the Policy as of January 1 of the following year.
Article 10 Provincial authorities for industry and information technology and central enterprise groups shall notify relevant enterprises and nuclear power project owners of the list of enterprises and nuclear power project owners to be newly entitled to the Policy and other information.
Article 11 Under any special circumstance where the list of enterprises and nuclear power project owners to be newly entitled to the Policy is not issued by January 1 of the following year, enterprises and nuclear power project owners newly applying for entitlement to the Policy may apply to competent customs authorities for an advance clearance of relevant spare parts or raw materials against a customs guarantee provided, by producing the Notice on Acceptance of an Application for Entitlement to the Import Duty Policy on Key Technical Equipment (see Appendix 2 hereto) issued to them by the MIIT.
Chapter III Procedures for Re-examination of Duty Exemption Qualification
Article 12 The duty exemption qualification of enterprises and nuclear power project owners already entitled to the Policy shall be re-examined in a centralized manner once every three years.
Article 13 Enterprises and nuclear power project owners shall, based on any relevant catalogue issued under the import duty policy on key technical equipment to take effect from January 1 of the following year, submit a Report for Re-examination of Entitlement to the Import Duty Policy on Key Technical Equipment (see Appendix 3 hereto) during the period between August 1 and August 31 of the year in which their duty exemption qualification is to be re-examined. Local enterprises shall submit their report for re-examination to the MIIT via the local provincial authority for industry and information technology in the place where they are located; and enterprises or nuclear power project owners affiliated to a central enterprise group shall submit their report for re-examination to the MIIT via the central enterprise group.
Article 14 A provincial authority for industry and information technology or central enterprise group shall, after receiving a report for re-examination, examine against relevant requirements provided in Appendix 3 hereto, whether the report for re-examination complies with established standards and is complete, as well as whether any material submitted is valid. The provincial authority for industry and information technology shall examine the report for re-examination together with the local GAC office, provincial department (bureau) of finance and provincial tax authority in the place where the applicant is located.
......
Gong Xin Bu Lian Cai [2020] No.118
July 24, 2020
Authorities for industry and information technology and departments (bureaus) of finance of all provinces, autonomous regions, municipalities directly under the Central Government, cities specifically designated in the State plan and the Xinjiang Production and Construction Corps, Guangdong Sub-Administration of the General Administration of Customs and all local customs offices directly under the General Administration of Customs, offices of the State Taxation Administration of all provinces, autonomous regions, municipalities directly under the Central Government and cities specifically designated in the State plan, local regulatory bureaus of the Ministry of Finance, and all local commissioners' offices of the State Taxation Administration,
In accordance with the relevant requirements of the Circular of the Ministry of Finance, the Ministry of Industry and Information Technology, the General Administration of Customs, the State Taxation Administration and the National Energy Administration on Issuing the Administrative Measures for the Import Duty Policy on Key Technical Equipment (Cai Guan Shui [2020] No.2), the Implementing Rules for the Administrative Measures for the Import Duty Policy on Key Technical Equipment have been drafted by the Ministry of Industry and Information Technology, the Ministry of Finance, the General Administration of Customs, the State Taxation Administration and the National Energy Administration to support the development of China's key technical equipment manufacturing sector, which are hereby issued and shall come into force as of August 1, 2020.
The Circular on Adjusting the Procedures for Processing Applications for the Import Duty Policy on Key Technical Equipment and Other Matters (Gong Xin Ting Lian Cai [2016] No.40) shall be repealed simultaneously.
Implementing Rules for the Administrative Measures for the Import Duty Policy on Key Technical Equipment
Chapter I General Provisions
Article 1 These Rules are enacted in accordance with the Circular of the Ministry of Finance, the Ministry of Industry and Information Technology, the General Administration of Customs, the State Taxation Administration and the National Energy Administration on Issuing the Administrative Measures for the Import Duty Policy on Key Technical Equipment (Cai Guan Shui [2020] No.2) to implement the import duty policy on key technical equipment (the “Policy”).
Article 2 These Rules are subject to the making and revision by the Ministry of Industry and Information Technology (“MIIT”) jointly with the Ministry of Finance ( “MOF”), the General Administration of Customs (“GAC”), the State Taxation Administration ( “STA”) and the National Energy Administration (“NEA”), and authorities for industry and information technology at the provincial level (including at the level of a city specifically designated in the State plan, hereinafter the same and referred to as the “provincial authorities for industry and information technology”) shall, together with the departments (bureaus) of finance at the provincial level (the “provincial departments (bureaus) of finance”), local customs offices directly under the GAC (the “local GAC offices”), and tax authorities at the provincial level (the “provincial tax authorities”), effectively carry out relevant work in accordance with these Rules.
Article 3 An enterprise applying for entitlement to the import duty policy on key technical equipment shall generally be an enterprise manufacturing any key technical equipment or product that is supported by the State for development, and committing to having a strong capacity in design, research & development (“R&D”) and manufacturing as well as a technical team covering a full range of specialisms, while meeting all of the following conditions:
1. It has an independent legal personality;
2. It has no prior record of lawbreaking or gross discreditable conduct;
3. It has proprietary core technology and intellectual property; and
4. The key technical equipment or product subject to the application for entitlement to the Policy meets relevant requirements set out in the Catalogue of Key Technical Equipment and Products Supported by the State for Development.
Nuclear power project owners applying for entitlement to the import duty policy on key technical equipment shall be those in the nuclear power sector who undertakes a key technical equipment-backed project.
Chapter II Application Procedures for Duty Exemption Qualification
Article 4 The determination of the duty exemption qualification of enterprises and nuclear power project owners newly applying for entitlement to the Policy shall be organized once a year.
Article 5 Enterprises and nuclear power project owners newly applying for entitlement to the Policy shall, based on any relevant catalogue issued under the import duty policy on key technical equipment to take effect from January 1 of the following year, submit a Report for Application for Entitlement to the Import Duty Policy on Key Technical Equipment (see Appendix 1 hereto) during the period between August 1 and August 31 of the current year. Local enterprises shall submit their report for application to the MIIT via the local provincial authority for industry and information technology in the place where they are located; and enterprises or nuclear power project owners affiliated to a central enterprise group shall submit their report for application to the MIIT via the central enterprise group.
Article 6 A provincial authority for industry and information technology or central enterprise group shall, after receiving a report for application, examine against relevant requirements provided in Appendix 1 hereto, whether the report for application complies with established standards and is complete, as well as whether any material submitted is valid. The provincial authority for industry and information technology shall examine the report for application together with the local GAC office, provincial department (bureau) of finance and provincial tax authority in the place where the applicant is located. If the report for application fails to comply with requirements, the provincial authority for industry and information technology or central enterprise group shall notify the applying enterprise or nuclear power project owner all at once, of any material that needs to be corrected or additionally submitted, and the enterprise or nuclear power project owner shall in turn submit any corrected or additional material needed within five working days. If the report for application or any corrected or additional material needed is not submitted by the enterprise or nuclear power plant owner in compliance with requirements, the provincial authority for industry and information technology or central enterprise group shall not accept the application.
Article 7 Provincial authorities for industry and information technology and central enterprise groups shall submit the reports for application examined by them to the MIIT by September 30 of each year.
Article 8 After receiving the reports for application submitted, the MIIT shall, together with the MOF, the GAC, the STA and the NEA, organize relevant industry experts to determine the duty exemption qualification of any applying enterprise or nuclear power project owner based on the requirements set out in Article 3 hereof and through examination of the submitted documentation, oral examination and other forms to produce expert review opinions.
Article 9 Based on the expert review opinions produced, the MIIT shall, together with the MOF, the GAC, the STA and the NEA, jointly research and determine a list of enterprises and nuclear power project owners to be newly entitled to the Policy in the following year, as well as the duration of their entitlement to the Policy and the time for re-examination of their duty exemption qualification, and then the MIIT shall notify the GAC by letter of such information by November 30 of each year, with a copy thereof sent to the STA, the NEA, provincial authorities for industry and information technology and central enterprise groups. Enterprises and nuclear power project owners on the list shall be entitled to the Policy as of January 1 of the following year.
Article 10 Provincial authorities for industry and information technology and central enterprise groups shall notify relevant enterprises and nuclear power project owners of the list of enterprises and nuclear power project owners to be newly entitled to the Policy and other information.
Article 11 Under any special circumstance where the list of enterprises and nuclear power project owners to be newly entitled to the Policy is not issued by January 1 of the following year, enterprises and nuclear power project owners newly applying for entitlement to the Policy may apply to competent customs authorities for an advance clearance of relevant spare parts or raw materials against a customs guarantee provided, by producing the Notice on Acceptance of an Application for Entitlement to the Import Duty Policy on Key Technical Equipment (see Appendix 2 hereto) issued to them by the MIIT.
Chapter III Procedures for Re-examination of Duty Exemption Qualification
Article 12 The duty exemption qualification of enterprises and nuclear power project owners already entitled to the Policy shall be re-examined in a centralized manner once every three years.
Article 13 Enterprises and nuclear power project owners shall, based on any relevant catalogue issued under the import duty policy on key technical equipment to take effect from January 1 of the following year, submit a Report for Re-examination of Entitlement to the Import Duty Policy on Key Technical Equipment (see Appendix 3 hereto) during the period between August 1 and August 31 of the year in which their duty exemption qualification is to be re-examined. Local enterprises shall submit their report for re-examination to the MIIT via the local provincial authority for industry and information technology in the place where they are located; and enterprises or nuclear power project owners affiliated to a central enterprise group shall submit their report for re-examination to the MIIT via the central enterprise group.
Article 14 A provincial authority for industry and information technology or central enterprise group shall, after receiving a report for re-examination, examine against relevant requirements provided in Appendix 3 hereto, whether the report for re-examination complies with established standards and is complete, as well as whether any material submitted is valid. The provincial authority for industry and information technology shall examine the report for re-examination together with the local GAC office, provincial department (bureau) of finance and provincial tax authority in the place where the applicant is located.
......