Revenue sharing system between the central government and the local governments

According to the stipulations of the State Council on adopting the revenue sharing system，the tax revenue in China is divided into the central revenue，local revenue and the revenue shared between the central and local governments．

1) The central regular revenue is composed of Consumption Tax，Vehicle Acquisition Tax，Customs Duties，Vessel Tonnage Tax and the VAT collected by the Customs on behalf．

2) The local regular revenue is composed of House Property Tax，Urban Real Estate Tax，City and Township Land Use Tax，Farm Land Occupation Tax，Deed Tax，Land Appreciation Tax，Vehicle and Vessel Usage Tax，Vehicle and Vessel Usage Plate Tax，Fixed Assets Investment Orientation Tax，Banquet Tax．Among them，the Fixed Assets Investment Orientation Tax，Banquet Tax are stopped levying．

3) The revenue shared between the Central and Local Governments includes：

a．Domestic VAT (excluding the VAT collected by the Customs on behalf)：the Central Government shares 75%，the Local Governments 25% (on base year)．

b．Business Tax：the Business Tax paid by the railway department，the headquarters of various banks and the headquarters of various insurance companies，and rest belongs to the Local Governments．

c．Enterprise Income Tax：the income tax paid by railway transportation，State postal services，the Industrial and Commercial Bank of China，the Agricultural Bank of China，the Bank of China，the Construction Bank of China，the State Development Bank，the Agricultural Development Bank of China，the Import & Export Bank of China，China Oil and Natural Gas Company Limited，China Oil Chemical Company Limited and offshore oil and natural gas enterprises belongs to the Central Government，and the rest is 60% shared by the Central Government and 40% by the Local Governments．

d．The Enterprise Income Tax on the enterprises with foreign investment and foreign enterprises：the income tax paid by offshore oil，natural gas enterprises is assigned to the Central Government，and the rest is shared between the Central Government and the Local Governments by 60 % to 40%．

e．Individual Income Tax：the Central Government and the Local Governments share 60% to 40%．

f．Resource Tax：the part paid by the offshore oil enterprises to the Central Government (not levied for the time being)，and the rest to the Local Governments．

g．Stamp Tax：97% of the Stamp Tax on securities transactions to the Central Government，and 3% of the Stamp Tax on securities transactions and the rest to the Local Governments．

h．City Maintenance and Construction Tax：the part consolidatedly paid by railway department，the headquarters of various banks and the headquarters of various insurance companies is assigned to the Central Government，and the rest to the Local Governments．