General Administration of Customs of the people's Republic of China

Introduction: with the approval of the State Council, from May 1, 2005 to December 31, 2005, import duties will be levied on cotton declared outside the tariff quota according to the "tentative tariff productivity with quantity limit" The notice on specific issues is as follows: 1 The provisional tariff rate shall be determined in the form of sliding standard tax, and the sliding range of tariff rate is 5% - 40% The specific methods are as follows: 1 When the duty paid price of imported cotton is higher than or equal to 10029 yuan / ton, the provisional tariff rate is 5%; 2 When the duty paid price of imported cotton is lower than 10029 yuan / ton, the provisional tariff rate is calculated according to the following formula: RI = int {[Pt / (PI × E) - 1] × 1000 + 0.5} / 1000 (RI ≤ 40%): RI -- provisional tariff rate, when RI is higher than 40% calculated according to the above formula, the value is 40%; E -- US dollar exchange rate; PI -- pre tariff price (US dollar / ton); Pt -- constant, 10531 (i.e 10029 × (1 + 5%)); int -- rounding function II, applicable product range: 5201.0000 tariff with additional imported cotton 3 The quantity of cotton imported by the above methods shall be limited to 1.4 million tons Specific import enterprises and quantity arrangement will be notified separately IV application of processing trade For the enterprises that import cotton in the above-mentioned way under the processing trade, if it is necessary to implement the management of cash deposit for the actual transfer of account, the customs shall collect the cash deposit according to the applicable tariff rate and import value-added tax rate of 1.4 million tons of cotton that are added to the quota For the cotton beyond the specified quantity range, the cash deposit shall be collected according to the tariff rate and import value-added tax rate outside the quota Deposit in the account If it is necessary to transfer domestic sales due to special circumstances, the domestic sales of cotton within the implementation period of this Circular shall supplement and correct the tax and interest of tax deferment according to the applicable tax rate above; the domestic sales of cotton beyond the implementation period shall be handled in accordance with the current regulations on processing trade 5 Term of application this circular is applicable to the cotton imported under the above arrangements from May 1, 2005 to December 31, 2005 Notice is hereby given April 30, 2005