On the 11th, the reporter learned from the Ministry of Finance that in order to ensure the smooth implementation of the "Value Added Tax Law of the People's Republic of China", the Ministry of Finance, together with the State Administration of Taxation, has studied and drafted the "Implementation Regulations of the Value Added Tax Law of the People's Republic of China (Draft for Solicitation of Opinions)", which will be publicly solicited for opinions from the society from the same day. Value added tax is the largest tax category in China. The 13th Meeting of the Standing Committee of the 14th National People's Congress held at the end of last year voted to adopt the VAT Law, which will come into force on January 1, 2026. The Implementation Regulations of the Value Added Tax Law are the fundamental supporting administrative regulations of the Value Added Tax Law. Together with the Value Added Tax Law and normative policy documents, they constitute the legal and regulatory system of value-added tax in China, and are an important guarantee for the implementation of the Value Added Tax Law. ”Liang Ji, Director of the Public Revenue Research Center at the Chinese Academy of Fiscal Sciences, said. The "Implementation Regulations of the Value Added Tax Law of the People's Republic of China (Draft for Comments)" includes six chapters and fifty-seven articles, including general provisions, tax rates, taxable amounts, tax incentives, collection management, and supplementary provisions. It mainly further refines and clarifies the relevant provisions of the Value Added Tax Law, makes specific provisions for the matters authorized by the State Council, further enhances the certainty and operability of the tax system, and forms a supporting and connected value-added tax system. Professor Yang Xiaoqiang from the Law School of Sun Yat sen University stated that taking the Value Added Tax Law as the guiding principle, the Implementation Regulations of the Value Added Tax Law as important supporting regulations, supplemented by specific methods and operational rules for the implementation of the Value Added Tax Law, is a legislative model for value-added tax (referred to as Goods and Services Tax in some countries) adopted by many countries internationally. For example, countries such as the United Kingdom, Australia, and Switzerland have value-added tax laws and implementation regulations. In Yang Xiaoqiang's opinion, the draft for soliciting opinions adheres to the principle of statutory taxation and reflects the concept of high-quality development. If the standards supporting tax preferential policies in agriculture, education, healthcare, and elderly care in Chapter 4 of the Value Added Tax Law are refined, and it is stipulated that the scope, standards, conditions, and tax collection and management measures of tax preferential policies should be timely disclosed to the society in accordance with the law, it is conducive to supporting high-quality economic and social development and protecting the legitimate rights and interests of taxpayers. Liang Ji stated that the draft for soliciting opinions explains and refines the relevant provisions of the Value Added Tax Law, enhances the certainty and operability of the tax system, such as optimizing the input tax deduction rules for long-term assets such as input tax and real estate corresponding to non taxable transactions, which not only conforms to the basic principle of consistent VAT collection and deduction, but also conforms to international practice; Refine and clarify relevant tax management regulations to adapt to the new changes in economic and social development. The Implementation Regulations of the Value Added Tax Law provide a detailed explanation of the term 'services and intangible assets consumed within the territory' referred to in Article 4, Item 4 of the Value Added Tax Law. ”Yang Xiaoqiang said that "the consumption of services and intangible assets within the country" has always been a legislative challenge for international value-added tax, but currently there is a lack of effective coordination through international value-added tax treaties. The draft for soliciting opinions has studied and researched the rules for determining the consumption location of cross-border sales services and intangible assets in different countries, incorporating absorption, innovation, and coordination, which is not only in line with international standards but also in line with China's actual situation. (New Society)