Xiamen University

China's SAT introduces Online Electronic Invoicing System

China’s State Administration of Taxation (SAT) recently promulgated the “Administrative Measures for Online Electronic Invoices (SAT Order No.30, hereinafter referred to as the ‘Measures’)," which standardizes the issuance and use of online electronic invoices (or “fapiao”). The Measures will come into effect on April 1, 2013. The system serves the dual purpose of enhancing efficiency for taxpayers in terms of the tax declaration and for tax authorities in terms of tax administration.    Under the online electronic

Chinese fapiaos: what you need to know when doing accounts

  A fapiao in China is more than just an ordinary receipt. Contrary to other countries, where receipts are usually just used to record a transaction, in China it is also the way in which the government monitors the value added tax (VAT) paid on any transaction. Therefore, even for the most mundane tasks, like riding a bus for example, a fapiao should always be provided, or at least be available, at the customer’s request. Fapiaos can mainly be sorted into two categories – general invoices and VAT invoices. Although the two are often used interchangeably, there
Fapiao   receipt   value added tax   VAT   account  

Understanding Fapiao, it is elusive and exclusively China's

  Fapiao发票 [fā piào] – [Commerce] is confusing to many who are not familiar with its use, purpose and function. It is exclusively used in China and it is NOT just simply a tax receipt.   Fapiao is a bill; a receipt; an invoice, paper to support warranty and contract, further more, it is a state lottery. It is in fact all of the above. To many foreigners, they do NOT value this piece of paper, thinking it is simply for tax purpose, and they do not have to declare their income in China, so fapiao is useless to them.   The fapiao system is used by Chinese tax
All