Batteries and Paints Now Subject to Increased Consumption Tax in China

XUHUI, China - April 16, 2015 - PRLog -- Tax on Batteries and Paints Recently Announced

In January 2015, the Chinese Ministry of Finance and the State Administration of Taxation each announced a Notice to impose a consumption tax on specific types of batteries and paints. The 2 Notices, Tariff Number 4 of 2015 (1) and Tariff Number 16 of 2015 (2), impose a 4% consumption tax on such products.

Certain Batteries, Paints and Coatings Exempted

Under the new law, certain batteries, accumulators and paints are exempted from the consumption tax:

- Batteries
 * Mercury-free batteries: Button cells with a mercury content of less than 0.0005% (lower than 5 mg/kg), or certain batteries with a mercury content of less than 0.0001% (lower than 1 mg/kg)
 * Fuel cells
 * Lithium primary
 * Nickel metal hydride (nickel-hydrogen)
 * Solar cells
 * Vanadium redox flow

- Lead accumulators (until 31 December 2015)

- Paints / coatings with a volatile organic compounds (VOCs) concentration of less than 420 g/L

The new law took effect on 1 February 2015.

References:

1) Tariff Number 4 of 2015 (Chinese only) (http://gss.mof.gov.cn/zhengwuxinxi/zhengcefabu/201501/t20...)
2) Tariff Number 16 of 2015 (Chinese only) (http://hd.chinatax.gov.cn/guoshui/action/GetArticleView1....)

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Throughout its network of leading laboratories, SGS is able to provide analytical testing for mercury content in batteries and VOCs in paints for China and international markets.

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