omposite assessable price = (the price of customs duties clearance + customs duty) ÷ (1 - proportional rate of consumption tax)

The formula for computing composite assessable price for tax payment at the composite taxation is as follows:

Composite assessable price = (the price of customs duties clearance + customs duty + imported volume ? flat tax rate of consumption tax) ÷ (1 - proportional tax rate of consumption tax)

Article 10 Where the assessable price of the taxable consumer goods of the taxpayer for tax computation is conspicuously low without due reasons, the assessable price shall be determined by the competent tax authorities.

Article 11 The export of taxable consumer goods of a taxpayer is exempt from consumption tax, unless otherwise specified by the State Council, the measure of which shall be prescribed by the competent financial and tax authorities of the State Council.

Article 12 Consumption tax shall be collected by tax authorities, and that of imported taxable consumer goods shall be collected by the customs office on behalf of the tax authorities.

The consumption tax of consumer goods brought or mailed into China by individuals shall be levied together with Customs Duty, the detailed measures of which shall be formulated by the Tariff Commission of the State Council together with the relevant departments.

Article 13 A taxpayer shall report and pay taxes on the taxable consumer goods sold and the taxable consumer goods produced for own use to the tax authorities in the place where the institution or domicile of the taxpayer is located, unless otherwise stipulated by the competent financial and tax authorities of the State Council.

For the taxable consumer goods processed on commission, except the entrusted is an individual, the consumption tax shall be withheld and forwarded by the entrusted to the tax authorities of the place where its establishment or domicile is located.

Consumption tax on imported consumer goods shall be declared and paid to the customs office wherein import declaration is made.

Article 14 The payment period of consumption tax shall be one day, three days, five days, 10 days, 15 days, one month or one quarter. The actual payment period of a taxpayer shall be determined by the competent tax authorities according to the amount of the tax payable of the taxpayer; and tax that cannot be paid in regular periods may be paid on transaction basis.

Taxpayers that adopt one month or one quarter as a payment period shall report and pay taxes within 15 days of the end of the period. If a payment period of one day, three days, five days, 10 days or 15 days is adopted, the tax shall be prepaid within five days of the expiration of the period and reported and paid within 15 days from the first day of the following month with settlement of any balance of tax payable of the previous month.

Article 15 A taxpayer shall pay consumption tax on its imported consumer goods within 15 days after the issuance of the special letter of payment of customs import consumption tax by the customs office.

Article 16 The collection and administration of consumption tax shall be conducted in accordance with the relevant provisions of the Law of the People's Republic of China on Tax Collection and related Regulations.

Article 17 The Regulations shall enter into force on January 1, 2009.