Announcement [2018] No. 70 of the General Administration of Customs (Announcement on

 Launching the Electronic Transmission 

Business of Consolidated Data on Security for Collection of Tax)

Announcement [2018] No. 70

In order to facilitate enterprises to handle the business of security for collection of tax, optimize the tax service, and improve the business environment, the General Administration of Customs decided to launch the electronic transmission business of consolidated data on security for collection of tax from July 1, 2018. The relevant matters are hereby announced as below

I. Rely on the system of horizontal networking between the PBOC and the MOF, the State Taxation Administration, the State Treasury of the PBOC, commercial banks, the electronic transmission system of consolidated data on security for collection of tax has realized the electronic operations of such businesses as security filing, change, cancellation, security amount deduction and return, and claims.

II. The electronic data on security transmitted through the electronic transmission system of consolidated data on security for collection of tax has the same legal effect as paper documents. In the event that the Customs has received the electronic consolidated data on security for collection of tax transmitted through the system, it shall not receive the corresponding paper documents.

III. Before launching the electronic transmission system of consolidated data on security for collection of tax, the security institution shall first complete the joint debugging and test with the General Administration of Customs. After the system is launched, the General Administration of Customs only receives the electronic data on security transmitted through the system in principle by the security institution. In the event that the Customs remains to handle security filing, change and cancellation with the original model when the security institution has issued the consolidated security for collection of tax before the system is launched, the security will not be renewed when it expires.

In the event that the electronic transmission of data such as security change and claims of consolidated collection of tax cannot be handled due to reasons of the system, the Customs and security institutions can handle it with the offline model.

IV. If one of the following circumstances occurs, the Customs will suspend the receiving of electronic consolidated data on security for collection of tax:

(I) Failure to perform the payment obligation under the security agreement;

(II) Violation of Customs laws and regulations.

V. If there is tax in default when the enterprise handles consolidated collection of tax, the Customs shall terminate the corresponding collection after the Customs has issued a collection claim to the collection institution. Where the enterprise continues to handle the consolidated collection of tax, other security means shall be used.

VI. Bank of China participates in the electronic transmission business of consolidated data on security for collection of tax as one of the first batch of collection institutions, and the time of participation by other institutions shall be announced later.

Other matters relating to the business of security for collection of tax remain subject to the relevant provisions of Announcement [2017] No. 45 of the General Administration of Customs.

The Announcement is hereby issued.

General Administration of Customs

June 27, 2018