Document Number：Order No. 23 of the President of the People's Republic of China

Area of Law： Tariff

Level of Authority： Laws

Issuing Authority： Standing Committee of the National People's Congress

Date Issued：04-26-2024

Effective Date：12-01-2024

Status： Not Yet Effective

Order of the President of the People's Republic of China
(No. 23)
The Tariff Law of the People's Republic of China, as adopted at the 9th Session of the Standing Committee of the Fourteenth National People's Congress of the People's Republic of China on April 26, 2024, is hereby issued, and shall come into force on December 1, 2024.
Xi Jinping, President of the People's Republic of China
April 26, 2024
Tariff Law of the People's Republic of China
(Adopted at the 9th Session of the Standing Committee of the Fourteenth National People's Congress of the People's Republic of China on April 26, 2024)
Table of Contents
Chapter I General Provisions
Chapter II Tariff Items and Tariff Rates
Chapter III Amount of Duties Payable
Chapter IV Tax Preferences and Collection of Customs Duties under Special Circumstances
Chapter V Administration of Duty Collection
Chapter VI Legal Liability
Chapter VII Supplemental Provisions
Chapter I General Provisions
Article 1 This Law is enacted in accordance with the Constitution for the purposes of regulating the collection and payment of customs duties, maintaining the import and export order, promoting foreign trade, advancing high-level opening up, promoting high-quality development, safeguarding national sovereignty and interests, and protecting the legitimate rights and interests of taxpayers.
Article 2 The goods permitted to be imported into or exported out of and all articles allowed to enter the People's Republic of China shall be subject to tariffs in accordance with this Law and other relevant laws and administrative regulations.
Article 3 The consignees of imported goods, the consignors of exported goods, and the carriers or recipients of entry articles are tariff payers.
E-commerce platform businesses, logistics companies and customs declaration companies engaging in cross-border e-commerce retail imports, and entities and individuals specified by any law or administrative regulation as having the obligation to withhold and remit or to collect and remit tariffs are withholding agents of tariffs.
Article 4 The tariff items and tariff rates of import and export goods and the rules applicable to tariff items and tariff rates, among others, shall be governed by the Customs Import and Export Tariffs of the People's Republic of China (hereinafter referred to as the “Tariffs”) attached to this Law.
Article 5 The entry articles for personal rational self-use shall be subject to tariffs through the simple collection method. The entry articles in excess of the quantity for personal rational self-use shall be subject to tariffs as import goods.
The entry articles for personal rational self-use worth not more than a specified amount shall be exempted from tariffs.
The simple tariff collection method for entry articles and the amounts exempted from tariffs shall be prescribed by the State Council, and be filed with the Standing Committee of the National People's Congress.
Article 6 The tariff work shall adhere to the leadership of the Communist Party of China, implement the guidelines, principles, policies as well as the decisions and arrangements of the Party and the state, and serve the national economy and social development.
Article 7 The State Council shall establish a Customs Tariff Commission to perform the following functions:
(1) Deliberating the major tariff plans, and drawing up proposals for tariff reform and development and organizing the implementation thereof.
(2) Deliberating the major tariff policies and plans for tariff negotiations with foreign countries.
(3) Offering recommendations on the Tariffs.
(4) Compiling and publishing the Tariffs on a regular basis.
(5) Explaining the tariff items and tariff rates in the Tariffs.
(6) Deciding on the imposition of anti-dumping duties, countervailing duties, and duties under safeguard measures, and implementing other tariff measures decided by the State Council.
(7) Other functions as prescribed by laws, administrative regulations and the State Council.
The composition and working rules of the Customs Tariff Commission of the State Council shall be prescribed by the State Council.
Article 8 The Customs and its staff members shall keep confidential the trade secrets, personal privacy, and personal information of duty payers and withholding agents to which they have access during the performance of their duties in accordance with the law, and shall not divulge them or illegally provide them to anyone else.
Chapter II Tariff Items and Tariff Rates
Article 9 A tariff item is composed of a tariff nomenclature heading number, a table of contents, and corresponding stipulations, among others.
The applicable rules for tariff items include classification rules, among others. The classification of import and export goods shall be determined in accordance with the table of contents, stipulations, the general principle of classification, category notes, chapter notes, subheading notes, and domestic subheading annotations as prescribed in the Tariffs, and other classification notes, and the classified goods shall be put under the corresponding tariff nomenclature heading numbers.
The Customs Tariff Commission of the State Council may, where necessary, submit recommendations on adjusting tariff items and their applicable rules, which shall be issued and implemented after being approved by the State Council.
Article 10 The most-favored-nation (“MFN”) tariff rates, conventional tariff rates, preferential tariff rates, and general tariff rates are set up for import tariffs.
Export tariff rates shall be set up for export tariffs.
Tariff quota rates shall be set up for the import and export goods subject to tariff quota management.
Provisional tariff rates may be applied to import and export goods during a certain period of time.
Article 11 The application of tariff rates shall conform to the corresponding rules of origin.
For the goods entirely obtained from a country or region, the place of origin thereof shall be this country (region). For the goods the production of which involves two or more countries (regions), the place of origin thereof shall be the country (region) where the substantial change is finally completed. Where there are other provisions on the determination of places of origin in international treaties or agreements concluded or acceded to by the People's Republic of China, such provisions shall prevail.
The specific determination of the places of origin of import goods shall be governed by this Law and the provisions issued by the State Council and its relevant departments.
Article 12 The MFN tariff rates shall apply to the import goods originating in the members of the WTO, to which the clauses on the MFN treatment are commonly applicable, the import goods originating in the countries or regions that have concluded with the People's Republic of China any international treaties or agreements that contain clauses on reciprocal MFN treatment or those China has acceded to, and the import goods whose places of origin are within the People's Republic of China.
Conventional tariff rates shall be applicable to the import goods originating in the countries or regions that have concluded with the People's Republic of China any international treaties or agreements containing clauses on tariff preferences or those China has acceded to and complying with the relevant provisions of the international treaties or agreements.
Preferential tariff rates shall apply to the import goods originating in the countries or regions that have been granted special preferential tariff arrangements by the People's Republic of China and comply with the provisions on the places of origin issued by the state.
General tariff rates shall apply to the import goods originating in the countries or regions other than those specified in paragraphs 1 through 3 of this Article and the import goods whose places of origin are unknown.
Article 13 Where a provisional tariff rate is set up for the import goods to which the MFN tariff rate applies, the provisional tariff rate shall prevail.
Where a provisional tariff rate is set up for the import goods to which the conventional tariff rate applies, the lower one shall prevail; and where the MFN tariff rate is lower than the conventional tariff rate and no provisional tariff rate is set up, the MFN tariff rate shall prevail.
Where a provisional tariff rate is set up for the import goods to which the preferential tariff rate applies, the lower one shall prevail.
With regard to the import goods to which the general tariff rate applies, the provisional tariff rate shall not apply.
Where a provisional tariff rate is set up for the export goods to which the export tariff rate applies, the provisional tariff rate shall prevail.
Article 14 With regard to the import and export goods subject to tariff quota management, the tariff quota rate shall apply to those within the tariff quota, and the provisional tariff rate shall prevail if a provisional tariff rate is set up; and for those beyond the tariff quota, the applicable tariff rate shall be governed by Articles 12 and 13 of this Law.
Article 15 The adjustments to tariff rates shall be governed by the following provisions:
(1) Where it is necessary to adjust any MFN tariff rate, tariff quota rate, or export tariff rate committed in the Protocol on China's Accession to the World Trade Organization, the Customs Tariff Commission of the State Council shall offer recommendations, which shall, after being examined by the State Council, be submitted to the Standing Committee of the National People's Congress for decision.
(2) In light of the actual circumstances, adjustments to MFN tariff rates, tariff quota rates, or export tariff rates within the scope committed in the Protocol on China's Accession to the World Trade Organization, adjustments to countries or regions or the scope of goods to which preferential tariff rates apply or tariff rates, or adjustments to general tariff rates shall be decided by the State Council, and be filed with the Standing Committee of the National People's Congress.
(3) The application of MFN tariff rates under special circumstances shall be decided by the State Council, and be filed with the Standing Committee of the National People's Congress.
The implementation of conventional tariff rates shall be organized by the Customs Tariff Commission of the State Council after the procedures for the confirmation or approval of relevant international treaties and agreements have completed.
The scope of goods subject to provisional tariff rates, tariff rates, and periods shall be decided by the Customs Tariff Commission of the State Council.
The technical conversion of tariff rates related to adjustments to tariff items shall be proposed by the Customs Tariff Commission of the State Council and be implemented upon approval by the State Council.
The adjustments to tariff rates made according to the preceding four paragraphs shall be released by the Customs Tariff Commission of the State Council.
Article 16 With regard to the import goods on which anti-dumping duties, countervailing duties, duties under safeguard measures shall be imposed in accordance with the law, the applicable tariff rates shall be governed by the provisions of the laws and administrative regulations on anti-dumping, countervailing and safeguard measures.
Article 17 Where any country or region fails to implement the MFN treatment clauses or preferential tariff clauses in any international treaty or agreement concluded or acceded to by the country or region and the People's Republic of China, the Customs Tariff Commission of the State Council may offer recommend the corresponding measures based on the principle of reciprocity, which shall be implemented upon approval by the State Council.
Article 18 With regard to a country or region that takes prohibitive or restrictive measures, impose additional tariffs, or takes any other measures that may affect the normal trade against the People's Republic of China in terms of trade as in violation of the international treaty or agreement concluded by the country or region and the People's Republic of China or they have acceded to, measures such as imposing retaliatory duties on the import goods originating in the country or region may be taken.
The scope of goods subject to retaliatory duties, applicable countries or regions, tariff rates, periods, and collection methods shall be proposed by the Customs Tariff Commission of the State Council and be implemented upon approval by the State Council.
Article 19 Where, for any import goods involving any measures prescribed in Article 16, 17 or 18 of this Law, a duty payer fails to provide certification materials, or the certification materials provided by the duty payer still cannot exclude the possibility that the goods originate in a country or region against which the prescribed measures are taken upon examination by the Customs, the higher one of the following two tariff rates shall apply:
(1) The tariff rate which is the total of the highest tariff rate which applies to the relevant goods for taking the prescribed measures and the applicable tariff rate as prescribed in Article 12, 13 or 14 of this Law.
(2) General tariff rate.
Article 20 With regard to import or export goods or entry articles, the tariff rate implemented on the day when a duty payer or withholding agent completes the declaration shall apply.
Where a declaration is made before the import goods arrives upon confirmation by the Customs, the tariff rate on the day when an entry declaration is made for the means of transportation that carries the goods shall apply.
Article 21 Under any of the following circumstances, the tariff rate on the day when the duties are paid by the duty payer or withholding agent shall apply:
(1) The bonded goods are not re-transported out of China and are instead sold on the domestic market.
(2) The goods eligible for duty reduction or exemption are transferred, used for other purposes or otherwise disposed of upon approval.
(3) The goods that enter China temporarily are not to be re-transported out of China, or the goods that leave China temporarily are not to be re-transported into China.
(4) The leased import goods are purchased and the duties are paid by installments.
Article 22 Where any duties are to be recovered or refunded, the applicable tariff rate shall be determined in accordance with Article 20 or 21 herein.
Where a duty payer or withholding agent is required to pay duties for violating relevant provisions, the tariff rate on the day when the violation is committed shall apply. If it is unable to determine the exact day of violation, the tariff rate on the day when the Customs discovers the violation shall apply.
Chapter III Amount of Duties Payable
Article 23 Customs duties may be collected on an ad valorem basis, by quantity, or on a composite basis.
Duties payable to be collected on an ad valorem basis shall be calculated by multiplying the dutiable value by the proportional tariff rate.
Duties payable to be collected by quantity shall be calculated by multiplying the quantity of goods by the fixed tariff rate.
Duties payable to be collected on a composite basis shall be the total of the value obtained by multiplying the dutiable value by the proportional tariff rate and the value obtained by multiplying the quantity of goods by the fixed tariff rate.
Article 24 The dutiable value of import goods shall be determined on the basis of the transaction value, and the freight, the associated expenses and the insurance premiums incurred prior to the arrival and unloading of the goods at a point of entry into the territory of the People's Republic of China.
The “transaction value of import goods” means the actual total amount of the price, including the direct payments and indirect payments, that the buyer within the People's Republic of China shall pay the seller for the import of the goods after readjustments have been made in accordance with Articles 25 and 26 herein.
The transaction value of import goods shall meet the following requirements:
(1) There is no limitation to the disposal and use by the buyer except for the limitations as prescribed in the laws and administrative regulations, the geographic limitations on the resale of goods and the limitations without material impact on the price of goods.
(2) It isn't unable to determine the transaction value of the goods due to tied sale or other factors.
(3) The seller shall not directly or indirectly get any yields from the resale, disposal or use of the goods after import, or although the seller may have some yields, adjustments may be made in accordance with Article 25 or 26 herein.
(4) There is no special relationship between the buyer and the seller, or although there is any, it does not affect the transaction value.
Article 25 The following expenses on import goods shall be included into the dutiable value:
(1) The commission and brokerage other than the commission on the purchase of goods that shall be paid by the buyer.
(2) The expenses that shall be paid by the buyer for the containers that are considered as an integrated part of the goods.
(3) The expenses for the packaging materials and packaging labor services that shall be paid by the buyer.
(4) The value of the materials, tools, molds, consumable materials and like goods that relate to the production of the goods and the sale within the People's Republic of China and that are provided by the buyer gratuitously or at a price lower than the costs and may be apportioned according to a reasonable rate, and the expenses for relevant services such as the development and design outside the People's Republic of China.
(5) The franchise royalties related to the goods that shall be paid by the buyer as a precondition for the sale of goods within the People's Republic of China.
(6) The yields directly or indirectly procured by the seller from the buyer for the resale, disposal or use of the goods after import.
Article 26 The following expenses, duties, and taxes specified in the price of the goods at the time of import shall not be included in the dutiable value of the goods:
(1) The expenses of construction, installation, assembly, maintenance and technical services for workshops, machines, equipment, and other goods after they are imported, excluding warranty costs.
(2) The freight, the associated expenses and the insurance premiums incurred after the arrival and unloading of the import goods at the point of entry into the territory of the People's Republic of China.
(3) Import duties and domestic taxes.
Article 27 Where the transaction value of the import goods fails to meet the requirements as prescribed in paragraph 3 of Article 24 herein, or the transaction value is unable to be determined, the Customs shall assess the dutiable value of the goods in light of the following values arranged in descending order of precedence after it has learnt of relevant information and negotiated with the duty payer about the price:
(1) The transaction price of identical goods sold to a buyer within the People's Republic of China at the same time or nearly at the same time.
(2) The transaction price of like goods sold to a buyer within the People's Republic of China at the same time or nearly at the same time.
(3) At the same time or nearly the same time when the goods are imported, the unit price of the import goods or the identical or like import goods in the maximal quantity sold within the People's Republic of China to the buyer without any special relationship in the first link of distribution, in which the items as listed in Article 28 of this Law shall be deducted.
(4) The price calculated according to the summation of the following items, including the costs of the materials used in producing the goods and the processing expenses, the usual profits generated and the general expenses incurred from selling goods of the same grade or category to a buyer within the People's Republic of China, and the freight, the associated expenses and the insurance premiums incurred prior to the arrival and unloading of the goods at the point of entry into the territory of the People's Republic of China.
(5) The price assessed by any other reasonable method.
A duty payer may submit relevant materials to the Customs to file an application for adjusting the applicable order of subparagraphs (3) and (4) of the preceding paragraph.
Article 28 The following items shall be deducted from the dutiable value assessed according to paragraph 1(3) of Article 27 herein:
(1) The usual profits, general expenses and normal commissions of the first link of distribution of the goods of the same grade or category to the buyers within the People's Republic of China.
(2) The freight, the associated expenses and the insurance premiums incurred after the arrival and unloading of the import goods at the point of entry into the territory of the People's Republic of China.
(3) Import duties and domestic taxes.
Article 29 The dutiable value of export goods shall be determined on the basis of the transaction value, and the freight, the associated expenses and the insurance premiums incurred prior to the arrival and loading of the goods at the point of departure from the territory of the People's Republic of China.
The “transaction value of export goods” means the total amount of the price that shall be directly or indirectly paid by the buyer to the seller for the export goods.
Export duties shall not be included into the dutiable value.
Article 30 Where the transaction value of the export goods is unable to be determined, the Customs shall assess the dutiable value of the goods in light of the following prices arranged in descending order of precedence after it has learnt of relevant information and negotiated with the duty payer about the price:
(1) The transaction price of identical goods exported to the same country or region at the same time or nearly at the same time.
(2) The transaction price of like goods exported to the same country or region at the same time or nearly at the same time.
(3) The price calculated according to the summation of the following items, including the costs of the materials used in producing identical or like goods within the People's Republic of China and the processing expenses, usual profits and general expenses, and the freight, associated expenses and insurance premiums incurred within China.
(4) The price assessed by any other reasonable method.
Article 31 The Customs may, according to application or its functions and authority, determine in accordance with the law the dutiable values, commodity classification, and places of origin of import and export goods and entry articles.
Where necessary, the Customs may organize laboratory tests and inspections, and take the results of laboratory tests and inspections determined by the Customs as the basis for determining the dutiable values and the classification and places of origin of the commodities.
Chapter IV Tax Preferences and Collection of Customs Duties under Special Circumstances
Article 32 The following import and export goods and entry articles are exempt from tariffs:
(1) The goods under a single invoice within the exemption quota as prescribed by the State Council.
(2) The articles to be used for advertising purposes or as samples of goods, which are of no commercial value.
(3) The fuel, materials, food and drinks necessary for the journey and carried by the means of transport that enters or leaves China.
(4) Goods and entry articles that are damaged or lost prior to customs release.
(5) The materials donated gratuitously by foreign governments or international organizations.
(6) Goods and entry articles which are exempted from customs duties according to international treaties or agreements concluded or acceded to by the People's Republic of China.
(7) Other goods and entry articles which are exempted from duties as prescribed by relevant laws.
Article 33 The following import and export goods and entry articles shall be subject to duty reduction:
(1) Goods and entry articles damaged prior to customs release.
(2) Goods and entry articles which shall be subject to duty reduction according to international treaties or agreements concluded or acceded to by the People's Republic of China.
(3) Other goods and entry articles that shall be subject to duty reduction as prescribed by relevant laws.
The reduction of duties as prescribed in subparagraph (1) of the preceding paragraph shall be handled based on the seriousness of the damages as determined by the Customs.
Article 34 Based on the needs for safeguarding national interests and promoting foreign exchanges, economic and social development, and scientific and technological innovation or due to emergencies or other reasons, the State Council may develop special preferential tariff policies and file them with the Standing Committee of the National People's Congress for recordation.
Article 35 The required formalities shall be undergone for goods subject to duty reduction or exemption in accordance with the law. The duty-reduced and duty-exempted goods that need to be used under customs supervision shall be subject to customs supervision. If the said goods are transferred, used for other purposes or are otherwise disposed of during the supervision period and thus it is required to make up the duties in accordance with the relevant provisions issued by the state, the duties shall be paid.
The duty-exempted and duty-reduced entry articles that need to be used under customs supervision shall be governed mutatis mutandis by the provisions of the preceding paragraph.
Article 36 The bonded goods re-transported out of China shall be exempted from customs duties; and if they are not re-transported out of China and are instead sold on the domestic market, customs duties shall be collected as required. If the bonded import materials and parts or their finished products under processing trade are sold on the domestic market, in addition to paying customs duties as required, the interest on deferred payment of duties shall also be collected.
Article 37 For the following goods and articles entering or leaving China temporarily, it is allowed not to pay the duties for the time being in accordance with the law, but the goods and articles shall be re-transported out of or into China within six months from the date of entry or exit. Where the period for re-transporting the goods out of or into China needs to be extended, the extension formalities shall be undergone with the Customs in accordance with the provisions issued by the General Administration of Customs.
(1) The goods and articles exhibited or used in exhibitions, trade fairs, meetings and other similar activities.
(2) The articles used for performances or competitions in cultural or sports exchange activities.
(3) The instruments, equipment and articles used in news reporting or in producing films or TV programs.
(4) The instruments, equipment and articles used in scientific research, teaching or medical care and health activities.
(5) The means of transport and special vehicles used in the activities as listed in subparagraphs (1) through (4) of this paragraph.
(6) Samples of goods.
(7) The instruments and tools used when installing, trial running and testing equipment.
(8) Packing materials containing goods.
(9) Other goods and articles used for non-commercial purposes.
If the goods and articles listed in the preceding paragraph are not re-transported out of or into China during the specified period, customs duties shall be paid in accordance with the law.
Article 38 With respect to the goods or articles entering China temporarily other than those specified in Article 37 of this Law, import duties shall be calculated and paid according to the dutiable value of such goods or articles and the ratio between the time when the goods stay in China and the depreciation time. Where such goods or articles fail to be re-transported out of China after the expiration of the specified period, the customs duties payable in accordance with the law shall be paid.
Where other goods leaving China temporarily other than those as prescribed in Article 37 of this Law are not re-transported into China after the expiration of the specified period, customs duties shall be paid in accordance with the law.
Article 39 If, due to quality or specifications or force majeure, the export goods are re-transported into China in its original form within one year from the date when they were exported, such goods shall not be subject to import duties. If, due to quality or specifications or force majeure, the import goods are re-transported out of China in its original form within one year from the date when they were imported, such goods shall not be subject to export duties.
Under special circumstances, the period specified in the preceding paragraph may be extended appropriately with the approval of the Customs. The specific measures shall be prescribed by the General Administration of Customs.
Article 40 With regard to the identical goods given as compensation or used to replace the original ones gratuitously by the consigner or carrier of the import or export goods or the insurance company because of damage, shortage, inferior quality or incompatible specifications, no duty shall be collected at the time of import or export. For the gratuitously replaced original import goods that are not to be re-transported out of China or original export goods that are not to be re-transported into China, the Customs shall impose customs duties on the original import or export goods as required.
A duty payer shall apply to the Custom for undergoing the import or export formalities for goods given as compensation or used to replace the original ones gratuitously during the period for claiming compensation stipulated in the original import or export contract and within three years from the date of release of the original import or export goods.
Chapter V Administration of Duty Collection
Article 41 The administration of duty collection shall be subject to separation of the release of goods from the determination of duty amounts.
The administration of duty collection shall adapt to the development needs of new business forms and new models of foreign trade, and improve the level of informatization, intelligence, standardization and facilitation.
Article 42 Duty payers and withholding agents for import and export goods may choose the appropriate customs office to declare duty payment.
Duty payers and withholding agents shall faithfully declare their duty amounts to the Customs according to the specified periods and requirements, and provide relevant materials. When necessary, the Customs may require duty payers and withholding agents to make supplementary declarations.
Article 43 A duty payer or withholding agent for import or export goods shall pay duties within 15 days from the date of completion of declaration, and may pay taxes on a consolidated basis on the fifth working day of the following month if the conditions specified by the Customs are met and a guarantee is provided. If the duty payer or withholding agent fails to pay the duties during a specified period due to force majeure or the change of duty policies of the state, the period for the payment of duties may be extended by not more than six months after the duty payer or withholding agent files an application with the Customs and provides a guarantee for duty payment.
Where a duty payer or withholding agent fails to pay duties during the period specified in the preceding paragraph, the duty payer or withholding agent shall pay a late fee of 0.05% of the amount of the defaulted duties per day from the date of expiration of the specified period.
If a duty payer or withholding agent applies for the release of goods based on the guarantee it or he provides when duties have not been paid in accordance with the provisions of relevant laws and administrative regulations, the Customs shall handle the guarantee formalities in accordance with the law.
Article 44 If any clear evidence shows that a duty payer of import or export goods transfers or conceals the dutiable goods or other property during the specified period for paying duties, or there is any other risk that may lead to failure to pay taxes, the Customs may order the duty payer or withholding agent to provide a guarantee. If the duty payer fails to provide a guarantee, the Customs may take the following compulsory measures with the approval of the director of the customs office directly under the General Administration of Customs or the director of a subordinate customs office authorized thereby:
(1) Notifying in writing the banking financial institution to freeze the duty payer's deposits and remittances of an amount equivalent to the amount of duties payable.
(2) Seizing and impounding the duty payer's goods or other property with a value equal to the duties payable.
If the duty payer clears off its duties during the specified duty payment period, the Customs shall immediately remove the compulsory measures.
Article 45 Within three years from the date when a duty payer or withholding agent pays off its duties or the goods are released, the Customs shall have the right to confirm the amount of duties payable by the duty payer or withholding agent.
Where the amount of duties payable as confirmed by the Customs is inconsistent with the amount of duties declared by a duty payer or withholding agent, the Customs shall issue a confirmation letter on the amount of duties to the duty payer or withholding agent. The duty payer or withholding agent shall, according to the amount of duties payable specified in the duty amount confirmation letter, pay off the duties in arrears or file a claim for tax refund during a period specified by the Customs.
Where a duty payer needs to pay off its duties in arrears after the Customs confirms duties payable but fails to do so during a specified period, the duty payer shall pay a late fee of 0.05% of the amount of the defaulted duties per day from the date of expiration of the specified period.
Article 46 Where duties are underpaid or unpaid due to the duty payer or withholding agent's violation of relevant provisions, the Customs may recover the duties owed within three years from the date when duties are paid or goods are released, and charge a late fee of 0.05 % of the amount of the underpaid or unpaid duties per day from date when duties are paid or goods are released.
Article 47 If the Customs recovers duties and imposes late fees for smuggling, it shall not be subject to the limitation of the period specified in the preceding paragraph, and shall have the right to confirm the duties payable through verification.
Article 48 Where the Customs finds that the duties on the goods under its supervision are underpaid or unpaid due to the duty payer or withholding agent's violation of relevant provisions, it shall recover the duties owed within three years from the date when the duty payer or withholding agent shall pay duties, and charge a late fee of 0.05 % of the amount of the underpaid or unpaid duties per day from date when the duties become payable.
Article 49 The Customs may make an announcement on a duty payer or withholding agent's defaults in payment of duties.
Where a duty payer fails to pay off its duties and late fees and fails to provide a guarantee to the Customs, upon approval by the director of the customs office directly under the General Administration of Customs or the director of a subordinate customs office authorized thereby, the Customs may notify the immigration administration to take measures to restrict the duty payer or the legal representative thereof from leaving China.
Article 50 Where a duty payer or withholding agent fails to pay or remit its duties during a specified period, the Customs shall order it to pay the duties during a specified period; and if the duty payer or withholding agent still fails to pay the duties during the specified period without a justifiable reason, the Customs may take the following compulsory enforcement measures with the approval of the director of the customs office directly under the General Administration of Customs or the director of a subordinate customs office authorized thereby:
(1) Notifying in writing the banking financial institution to transfer the duty payer or withholding agent's deposits and remittances of an amount equivalent to the amount of duties payable.
(2) Seizing and impounding the duty payer or withholding agent's goods or other property with a value equal to the duties payable, auctioning or selling off the goods or other property seized and impounded, and offsetting duties with proceeds from auction or sale, with the remaining part returned to the duty payer or withholding agent.
When the Customs conducts enforcement, it shall enforce the payment of unpaid late fees at the same time.
Article 51 If the Customs discovers any overpaid tax, it shall notify in a timely manner the duty payer to file a claim for refund.
A duty payer that finds that it or he has overpaid taxes may file a written application with the Customs for refunding the overpayment within three years from the date of payment of duties. The Customs shall, within 30 days from the date when it accepts the application, conduct verification and notify the duty payer to file a claim for refund, and the duty payer shall claim the refund within three months from the date of receipt of the notice.
Article 52 Under any of the following circumstances, a duty payer may apply to the Customs for the refund of duties within one year form the date of payment of duties:
(1) The import-duty-paid goods that are re-transported out of China in their original forms within one year due to quality, specifications or force majeure.
(2) The export-duty-paid goods that are re-transported into China in their original forms within one year due to quality, specifications or force majeure, and relevant domestic taxes refunded for export have been repaid.
(3) The export-duty-paid goods fail to be loaded and exported for any reason, and an application is filed for canceling the declaration.
An application for the refund of duties shall be made in writing, and the original payment vouchers and relevant materials shall be provided. The Customs shall, within 30 days from the date of acceptance of the application, conduct verification and notify the duty payer to undergo the refund formalities. The duty payer shall undergo the refund formalities within three months from the date of receipt of the notice.
The customs duties that should be refunded in accordance with other relevant laws and administrative regulations shall be refunded by the Customs in accordance with the law.
Article 53 For customs duties refunded as required, the interest calculated at the bank current deposit interest rate for the same period shall be paid.
Article 54 For any act of evading the relevant provisions of Chapter II or III, which decreases the amount of duties payable for no reasonable commercial purpose, the state may take anti-evasion measures such as adjusting customs duties.
Article 55 Where a customs declaration enterprise accepts the entrustment of a duty payer and makes a customs declaration and makes a duty payment in the duty payer's name, and the customs declaration enterprise's violation of relevant provisions results in underpayment of duties or failure to pay any duties to the Customs, the customs declaration enterprise shall bear joint and several liabilities for the payment of duties together with the duty payer with respect to underpaid or unpaid duties and late fees.
Where a customs declaration enterprise accepts the entrustment of a duty payer and files a customs declaration and makes a duty payment in its own name, the customs declaration enterprise shall bear joint and several liabilities for the payment of duties together with the duty payer.
Article 56 Where any goods under customs supervision are damaged or lost during the period when they are kept by the Customs, unless they are damaged or lost as a result of force majeure, the entities or individuals that are obliged to keep the goods shall be liable for paying the corresponding duties.
Article 57 Where a duty payer failing to perform its duty payment obligation is to be merged or divided, it shall, prior to the merger or division, report to the Customs and pay off the duties and late fees or provide a guarantee in accordance with the law. If the duty payer fails to pay off its duties and late fees or to provide a guarantee when it is merged, the post-merger legal person or unincorporated organization shall continue to fulfill the obligation of paying the duties that has not been fulfilled. If the duty payer fails to pay off the duties and late fees or to provide a guarantee when it is divided, the post-division legal person or unincorporated organization shall bear joint and several liabilities for the the duties that has not been fulfilled.
If a duty payer is merged, divided or under any other asset restructuring circumstances during the period of supervision of the duty-reduced or duty-exempted goods or bonded goods, it shall report to the Customs. If it is required to pay duties in accordance with relevant provisions, it shall pay off its duties and late fees or provide a guarantee in accordance with the law. If it may continue to enjoy the duty exemption or reduction or bonded treatment in accordance with relevant provisions, it shall undergo the formalities for changing the duty payer with the Customs.
Where a duty payer fails to perform the duty payment obligation, or is dissolved or bankrupt or has its business operations terminated in accordance with the law during the period of supervision of the duty-reduced or duty-exempted goods or bonded goods, it shall report to the Customs prior to liquidation. The Customs shall settle and pay off the taxes and late fees in accordance with law.
Article 58 Duties collectable by the Customs shall have precedence over unsecured claims unless it is otherwise provided by laws. Where a duty payer defaults in payment of duties before the duty payer its or his property as a collateral, the collection of duties shall take precedence over the enforcement of the right of collateral.
Where a duty payer defaults the duties and is fined and has the illegal income confiscated by the administrative authority at the same time, but its property is insufficient to make the payments, duties shall be paid first.
Article 59 Duties and late fees shall be paid to the state treasury in a timely manner in accordance with the relevant provisions issued by the state.
Where any duties and interest to be refunded involve the refund from the state treasury, the provisions of the relevant laws and administrative regulations on the administration of the state treasury shall apply.
Article 60 Duties, late fees and interest, among others, shall be denominated in RMB.
Where the price of the import or export goods or entry articles and the associated expenses are denominated in a currency other than RMB, they shall be converted into RMB according to the valid exchange rate of the day when the duty payer completes the declaration.
For the purpose of the preceding paragraph, the “valid exchange rate” means the central parity of RMB exchange rate on the day determined according to the provisions issued by the General Administration of Customs.
Article 61 Where duty collection so requires, the Customs may inquire relevant government departments and institutions about the identities, accounts, fund transactions and other duty-related information of duty payers. Relevant government departments and institutions shall provide assistance and support within the scope of their functions. The information related to customs duties obtained by Customs can only be used for the purpose of collecting customs duties.
Chapter VI Legal Liability
Article 62 Under any of the following circumstances, the Customs shall give a warning; and if the circumstances are serious, impose a fine of not more than 30,000 yuan:
(1) A duty payer which has failed to perform its duty payment obligation is merged or divided, but fails to report to the Customs prior to the merger or division.
(2) A duty payer fails to report to the Customs its merger, division or other asset restructuring circumstances during the period of supervision of the duty-reduced or duty-exempted goods or bonded goods.
(3) A duty payer fails to perform its duty payment obligation, or is dissolved or declared bankrupt or has its business operations terminated in accordance with the law during the period of supervision of the duty-reduced or duty-exempted goods or the bonded goods, but fails to report to the Customs prior to liquidation.
Article 63 If a duty payer defaults the duties payable, and obstructs the Customs from recovering duties in arrears in accordance with the law by transferring or concealing its property or by any other means, the Customs shall, in addition to recovering the duties in arrears and the late fees, impose a fine of not less than 50% nor more than five times the duties in arrears.
Article 64 Where a withholding agent fails to withhold or collect the duties which should have been withheld or collected, the Customs shall recover the duties from the duty payer, and impose a fine of not less than 50% nor more than three times the unpaid duties that should have been withheld or collected on the withholding agent.
Article 65 Whoever commits any violation of this Law other than those as mentioned in Articles 62, 63 and 64 of this Law shall be punished by the Customs in accordance with the Customs Law of the People's Republic of China and other laws and administrative regulations.
Article 66 Where a duty payer, withholding agent, or guarantor raises any objection to the Custom's determination of the duty payer, the category of goods, the place of origin of goods, the place of duty payment, the way of calculation and collection of duties, dutiable value, the applicable tariff rate or exchange rate, decision on the duty reduction or exemption, confirmation of the amount of duties payable, the amount of duties in arrears to be paid, or the amount of duties refunded, imposition of late fees, or any other duty collection matter, it or he shall file an administrative reconsideration application with the customs office at the next higher level in accordance with the law. Where it or he refuses to accept an administrative reconsideration decision, it or he may file an administrative lawsuit with the people's court in accordance with the law.
If a party refuses to accept an administrative act conducted by the Customs other than those provided for in the preceding paragraph, it may apply for administrative reconsideration in accordance with law, and may file an administrative lawsuit with the people's court in accordance with the law.
Article 67 Whoever abuses his power, neglects his duties, practices favoritism or makes falsification for personal gains, or divulges or illegally provides others with any trade secret, personal privacy or personal information to which he or she has access in performing his or her duties shall be given a disciplinary action in accordance with the law.
Article 68 Where a violation of this Law is criminally punishable, the violator shall be held criminally liable in accordance with the law.
Chapter VII Supplemental Provisions
Article 69 Where there are other provisions on tariff matters concerning the Hainan Free Trade Port in the Hainan Free Trade Port Law of the People's Republic of China, such provisions shall prevail.
Article 70 The administration of the collection of import taxes by the Customs on behalf of other authorities shall be governed by the provisions on the administration of duty collection.
If the collection of vessel tonnage taxes is not provided for in the Vessel Tonnage Tax Law of the People's Republic of China, the provisions on the administration of duty collection shall apply.
Article 71 Whoever wishes to engage in the retail of duty-free commodities shall be subject to approval, and specific measures shall be prescribed by the State Council.
Article 72 This Law shall come into force on December 1, 2024, upon which the Regulation of the People's Republic of China on Import and Export Duties shall be repealed.
Attachment: Customs Import and Export Tariffs of the People's Republic of China (Note: The Customs Import and Export Tariffs of the People's Republic of China is issued by the Customs Tariff Commission of the State Council.)