To consistently enhance the business environment at ports, the GACC issued Announcement on Implementation of the Reform for Independent Printing of Vessel Tonnage Tax Payment Certificates and Tonnage Tax Licenses. This effort clears the "last mile" of paperless vessel tonnage tax processing and facilitates the full online process for vessel tonnage tax payment and license issuance.
I. What is Vessel Tonnage Tax
Vessels entering domestic ports from ports outside the People's Republic of China (hereinafter referred to as taxable vessels) shall be subject to vessel tonnage tax in accordance with the Law of the People's Republic of China on Vessel Tonnage Tax. The obligation to pay vessel tonnage tax occurs on the day when the taxable vessel enters the port.
II. Vessel Tonnage Tax Rate
The preferential tax rate and general tax rate are set for tonnage tax. Preferential tax rates shall apply to taxable vessels of the nationality of the People's Republic of China and taxable vessels of the country (region) of nationality of the vessel that has signed treaties or agreements containing a reciprocal most-favored-nation treatment clause for vessel taxes and dues with the People's Republic of China. The general tax rates shall apply to all other taxable vessels.
III. Vessel Tonnage Tax Handling Process
When a taxable vessel enters a port for going through entry formalities, it shall be declared to the customs for tax payment and shall obtain a certificate, or accept the inspection by submitting a tonnage tax certificate (or apply for verification of electronic information of the tonnage tax certificate). The person in charge of a taxable vessel can choose to apply for a 30-day, 90-day, or 1-year tonnage tax license as needed. When a taxable vessel leaves the port for going through exit formalities, it shall accept the inspection by submitting a tonnage tax certificate (or apply for verification of the electronic information of the tonnage tax certificate).
In case a taxable vessel has not left the port after the expiration of the tonnage tax certificate, it shall apply for a new tonnage tax certificate. In addition, the tonnage tax shall be renewed from the day following the expiration of the previous certificate.
Contributed by: The Department of Tariffs, Qingdao Customs, Shenzhen Customs.
Disclaimer：The above content is translated from Chinese version of GACC. The GACC version shall prevail.