1.       Duty Payers

The enterprises who purchase tobacco leaves within the territory of China shall be the taxpayers of tobacco tax.

2.        Taxation Scope

 Dried tobacco leaves, roasted tobacco leaves.

3.        Tax Rate

Tobacco tax adopt uniform tax rate of 20%.

4.        Calculation for tax payable

Tax payable= Actual payment for tobacco leaf procurement*20%

* The actual payment includes the price of tobacco leaf and additional subsidies, which shall be calculated at 10% of the purchase price.