? ? ? ? In order to support the development of new display industry, The relevant ministries and commissions issued the Circular of The Ministry of Finance, General Administration of Customs and The General Administration of Taxation of the Ministry of Finance on Import Tax Policies supporting the Development of New Display Industry in 2021-2030 (Goods and Customs No.19, 2021) and the General Administration of Customs of the Ministry of Finance, Ministry of Industry and Information Technology, National Development and Reform Commission Notice of the State Administration of Taxation on Measures for the Administration of Import Tax Policies for Supporting the Development of New Display Industry in 2021-2030 (Goods tariff (2021) No. 20), clarifying the relevant import tax policies. The list of preferential enterprises and the list of duty-free commodities has been published. For the convenience of relevant enterprises to be familiar with the preferential policies, xiaobian is compiled as follows:

I. According to the policy, enterprises enjoying benefits include:

? ? ? ? (1) Manufacturers of new display devices (thin film transistor LIQUID crystal display devices, active matrix organic light-emitting diode display devices, micro-LED display devices);

? ? ? ? (2) Manufacturing enterprises of key raw materials and spare parts (target material, photoresist, mask, polarizer, color filter film) for new display industry;

? ? ? ? (3) Enterprises undertaking major projects of new-type display devices.

II. Preferential import tax policies mainly include:

? ? ? ? （一）下述進口商品免征進口關(guān)稅：

? ? ? ? 1. New display device manufacturers, imported self-use production (including research and development, the same below) raw materials, consumables and purification room supporting system, production equipment (including imported equipment and domestic equipment) spare parts;

? ? ? ? 2. Key raw materials and spare parts manufacturers of new display industry import self-use productive raw materials and consumables that cannot be produced domestically or whose performance cannot meet the demand;

? ? ? ? The list of duty-free import commodities shall be formulated, distributed and dynamically adjusted by the Ministry of Industry and Information Technology, the National Development and Reform Commission, the Ministry of Finance, the General Administration of Customs and the State Administration of Taxation.

? ? ? ? (2) For the new equipment imported by enterprises undertaking major projects of new display devices, except for the commodities listed in the relevant catalogues of non-duty-free commodities, import VAT may be paid in installments.

III. Qualification identification of preferential enterprises or projects

? ? ? ? The list of enterprises producing new-type display devices and key raw materials and spare parts for new-type display industry shall be formulated and jointly distributed by the National Development and Reform Commission, the Ministry of Industry and Information Technology, the Ministry of Finance, the General Administration of Customs and the State Administration of Taxation.

? ? ? ? The list of major projects and contractors of new display devices shall be determined by the National Development and Reform Commission jointly with the Ministry of Industry and Information Technology, and then determined by the Ministry of Finance jointly with the General Customs Administration and the State Administration of Taxation after a letter is sent to the Ministry of Finance.

IV. The import equipment of enterprises undertaking major projects of new display devices shall enjoy the relevant requirements of installment payment of import value-added tax

? ? ? ? (1) Scope of commodities

? ? ? ? The imported new equipment shall not be included in the Catalogue of Import Commodities Not exempted from Tax for Domestic Investment Projects, Catalogue of Import Commodities not exempted from tax for Foreign Investment Projects and Catalogue of Import Major Technology Equipment and Products Not exempted from Tax.

? ? ? ? (2) Procedures for examining and approving tax payment plans by installment

? ? ? ? Construction enterprises should first major projects in the construction of new display device item new equipment imported three months ago, to the provincial financial department (bureau), project investment amount, time of imported equipment, the annual amount of import new equipment, the annual import new equipment import link value-added tax, tax guarantee scheme, such as information, sent to the customs directly under the enterprise is located, the provincial tax authorities. The provincial finance department (bureau) shall, together with the customs directly under the local government and the provincial taxation Bureau, submit the report to the Ministry of Finance after initial examination.

? ? ? ? The Ministry of Finance, together with the General Administration of Customs and the State Administration of Taxation, shall determine the installment tax payment plan for major projects of new display devices and notify the provincial finance departments (bureaus), the customs directly under the locality of the enterprise and the provincial tax bureaus.

? ? ? ? (3) Proportion of tax payment by instalments

? ? ? ? The contractor can pay import value-added tax in installments within 6 years (consecutive 72 months) after the import of the first equipment, and pay 0%, 20%, 20%, 20%, 20% of the total value of import value-added tax in each consecutive 12 months. The taxes paid since the date of the first equipment import will not be refunded.

? ? ? ? (4) Requirements for installment tax returns

? ? ? ? The import of new equipment shall be declared within the customs area directly under the location of the contractor. During the period of installment tax payment, the contractor shall provide tax guarantee approved by the Customs for the unpaid tax. In accordance with relevant policies, the Customs shall not impose late fees on the tax payable in installments.

V. Implementation period of the policy

? ? ? ? The import tax policy to support the development of the new display industry will be implemented from January 1, 2021 to December 31, 2030.

VI. Refund of duty paid

? ? ? ? The National Development and Reform Commission and the Ministry of Industry and Information Technology took the lead in formulating the list of key raw materials and spare parts manufacturers and duty-free import commodities for the first batch of new-type display device manufacturers and new-type display industry respectively, which will come into effect on January 1, 2021. From January 1, 2021 to 30 days after the issuance of the first batch of the list, the duty-free taxes paid by enterprises in the first batch of the list of imported goods in the duty-free list will be refunded upon the application of enterprises. Enterprises applying for tax refund shall, within 6 months from the date of the issuance of the first batch of list, go through the formalities of checking and confirming tax reduction or exemption with the Customs in accordance with relevant provisions.

VII. Disposal of changes of duty-free import entities

? ? ? ? Where a duty-free import entity changes its name or business scope, etc., it shall timely submit the explanation of the change to the National Development and Reform Commission, which shall determine whether the entity after the change can continue to enjoy the policy and notify the General Administration of Customs by letter.

? ? ? ? Stages in the implementation of tax plan, such as the project name is changed, including enterprise name, business scope change, the construction enterprise shall upon completion of the registration of change within 60 days from the date of, to the provincial financial department (bureau), the customs directly under the enterprise is located, provincial tax authorities to submit the change situation, apply for installment taxpaying scheme corresponding contents of change, The provincial finance department (bureau) shall notify the local customs directly under the enterprise by letter. If the contractor submits the explanation of changes within the above time, the above competent authorities will not accept it and the project will no longer enjoy installment tax payment. The unpaid taxes of imported equipment shall be paid within 3 months from the month following the completion of the registration of changes.

VIII. Other matters needing attention

? ? ? ? If a duty-free import entity obtains the duty-free status by making false declaration, the NDRC, together with the Ministry of Industry and Information Technology, the Ministry of Finance, the General Administration of Customs and the State Administration of Taxation shall inform the General Administration of Customs in a letter after verification. The entity shall cease to enjoy the duty-free status within the remaining effective period of the policy as of the date of notification in the letter.

? ? ? ? Duty-free import entities shall use duty-free import commodities in accordance with relevant provisions. If they violate relevant provisions by transferring duty-free import commodities to other uses or disposing of them without authorization and are subject to criminal prosecution, they shall cease to enjoy duty-free import commodities within the remaining term of validity of the policies.

? ? ? ? If the contractor fails to pay the tax in time in violation of the provisions, the new imported equipment shall not enjoy the tax in installments, and the unpaid tax of imported equipment shall be paid within 3 months from the month following the occurrence of the overdue tax payment.

Article source：Xiao er of customs affairs