The organization of the tax administration at and below provincial level

Due to the requirements of the revenue sharing system，the tax organizations at and below the provincial level include offices of SAT and local tax bureaus．

The SAT conducts a vertical leadership over the offices of SAT with respect to organization，size，personnel，budgets，and assists the provincial governments in a form of dual leadership over the local tax bureaus．

1) The offices of SAT include all offices of SAT in provinces，autonomous regions and municipalities directly under the State Council，the offices of SAT at district，prefecture level，the offices of SAT at county，city and Banner level，and the collection branches and stations of SAT．The collection branches and stations of SAT are the resident organizations of the county offices of SAT．The collection branches are normally established in terms of administrative jurisdiction，economic region or sector，and the collection stations are normally established in terms of economic region or administrative jurisdiction．

The offices of SAT at provincial level are departmental - level administrative organizations directly reporting to the Headquarters of SAT．They are the functional organs being in charge of the State revenue work within their own jurisdictions．They are also responsible for carrying out the relevant tax laws，regulations and rules of the State by working out the concrete implementing measures in combination with local practical condition．The Directors and Deputy Directors are appointed by the Headquarters of SAT．The divisions within one office of SAT at provincial level include General Office，Tax Policy and Legislation Division，Turnover Tax Division，Income Tax Division，Collection and Administration Division，Financial Division，Planning and Statistics Division，Personnel Division，Tour Inspection Office，Education Division and Supervisory Division．The branches directly under the offices of SAT at provincial level include Tax Investigation Bureau，Import and Export Tax Administration Branch (or Import and Export Tax Administration Division) and Foreign Investment Tax Branch (or Foreign Investment Tax Division)．The non-governmental institutions are Information Center，Center for Administration of Registered Tax Agents，Corporate Support Center，Tax Science and Research Institute．

2) Local tax bureaus include Local Tax Bureaus of Governments at provincial level，Local Tax Bureaus of Governments at municipal level，Local Tax Bureaus at county level，and Tax Collection Branches and Collection Stations．

The local tax bureaus at provincial level are functional departments of People’s Governments at provincial level in charge of the local taxation work within their own jurisdictions．They are normally departmental-level administrative organs under dual leadership of local governments and Headquarters of SAT with the former as the predominant one．Within each local tax bureau at provincial level，there are divisions such as General Office，Tax Policy and Legislation Division，Turnover Tax Division，Jncome Tax Division，Collection and Administration Division，Financial Division，Planning and Statistics Division，Personnel Division，and Supervisory Division．The branches directly under the offices of SAT at provincial level include Tax Investigation Bureau and Foreign Investment Tax Branch (or Foreign Investment Tax Division)．The non-governmental institutions are Information Center，Corporate Support Center，Tax Science and Research Institute．

The leadership of SAT over the local tax bureaus at provincial level is reflected in the aspects of tax policy and business guidelines and coordination，the supervision in the implementation by the local authorities of the State unified tax rules and policies，and the coordination in the exchange of experiences．The directors of local tax bureaus at provincial level are appointed or removed by the local government after consultation with the SAT．

The local tax bureaus at and below provincial level are under the dual leadership of both the local people’s governments at the same level and the local tax bureaus at higher level with the vertical leadership of the higher local tax bureaus as the predominant one，i．e．，everything concerning the organization，staff management，size and expenditure budget of local tax bureaus at municipal and county level are all subject to the vertical leadership of the provincial local tax bureaus thereof．

By the beginning of 2005，there are in China 61 tax departments at provincial level，30 municipal tax department at vice-provincial level，1027 tax departments at local level (such as city，prefectures)，5288 tax departments at county level，and 30915 tax stations(or branches)．There are 844000 tax staffs in China，out of which 457000 are national tax staffs(accounting for 54．1%) and 388000 are local tax staffs (account for 45．8%)．