On 30 January 2026, the Ministry of Finance and the
State Taxation Administration issued seven key supporting
announcements for China's Value-Added Tax Law and its
Implementation Regulations, which took effect on 1 January 2026.
These announcements clarify critical matters including the scope of
taxation, preferential policies and collection and administration
procedures, marking the full entry of China's VAT system into
the 'law-based era'.
For foreign-invested enterprises and multinational companies
operating in China, understanding these changes is essential to
maintaining compliance and optimising tax strategies.
Consolidation of tax scope and rate annotations
The Announcement on Specific Matters Concerning the Scope of
Value-Added Tax Levy (MOF, STA Announcement No. 9 of 2026)
consolidates and publishes the Notes on the Scope of Goods Subject
to the 9% VAT Rate and the Notes on the Sale of Services,
Intangible Assets and Immovable Property. This
