1. Standards for Classifying Cigarette Tax assessments
　　（1）If the cigarettes sold by the taxpayers undergo frequent price fluctuations due to the liberalization of their selling prices，the tax categories and applicable tax rates shall be determined according to the weighted average selling prices of the cigarettes of the same brands and specifications sold in the month. However，the cigarettes sold shall not be included into the weighted average calculation in one of the following cases：
　　A. The selling prices are obviously low for no proper reasons；
　　B. There are no selling prices.
　　In practice，the taxpayers can make advance tax payment for the cigarettes sold at the beginning of a month，according to the tax categories and applicable tax rates of the previous month or the month most recent to the selling month. At the end of the month，they can use the actual selling prices to determine the tax categories and applicable tax rates and settle the tax payable for the month.
　　（2）If the selling prices of the cigarettes become higher due to the addition of filter tips，the change of package or other reasons，the tax categories and applicable tax rates shall be determined according to the new selling prices.
　　（3）For the cigarettes produced by the taxpayers for self use，they shall determine the tax categories and applicable tax rates according to the selling prices of the cigarettes of the same brands and specifications produced by the taxpayers. If there are no selling prices for the cigarettes of the same brands and specifications，such cigarettes shall all be taxed according to the tax rates for grade-A cigarettes.
　　（4）The cigarettes processed on consignment shall be taxed according to the tax categories and applicable tax rates of the cigarettes of the same brands and specifications of the consignees. If there are no cigarettes of the same brands and specifications，such cigarettes shall be taxed according to the tax rates for grade-A cigarettes.
　　（5）The applicable tax rates for defective or inferior cigarettes shall be determined according to the tax categories for the standard cigarettes of the same brands and specifications.
　　（6）The following cigarettes，irrespective of their tax categories，shall all be taxed according to the tax rates for grade-A cigarettes：
　　A. Imported cigarettes；
　　B. Unmarked cigarettes；
　　C. Hand-made cigarettes；
　　D. The cigarettes produced by the enterprises and individuals that have not been approved by the State Council to be included into the national plan. The list of the cigarette-producing enterprises that have been included into the national plan is attached.
　　（7）Any adjustment of the standards for classifying the cigarette tax assessment shall be determined by the State Administration of Taxation.
　　2. Scope of Tax Collection for Alcoholic Drinks
　　（1）The applicable tax rates for the liquors produced with purchased alcohol shall be determined according to the raw materials used for alcohol production. If the raw materials for alcohol production cannot be determined，the liquors shall be taxed according to the tax rates for grain spirit.
　　（2）The liquors produced with two or more kinds of purchased alcohol shall all be taxed according to the highest tax rate for the kind of alcohol.
　　（3）For the liquors produced by adding liquid to purchased liquors to reduce the degree of alcohol，or sold by bottling the bulk-purchased liquors，or produced by using leaven and essence to scent or flavor the purchased liquors，the applicable tax rates shall be determined according to the raw materials used for the purchased liquors. If the raw materials used for the purchased liquors cannot be determined，all the above liquors shall be taxed according to the tax rates for grain spirit.
　　（4）The liquors produced by blending different types of purchased liquors shall all be taxed according to the tax rates for grain spirit.
　　（5）The liquors produced by blending grains，potatos，bran and other raw materials shall all be taxed according to the tax rates of grain spirit.
　　（6）The liquors produced by blending the raw materials other than potatos and grains shall all be taxed according to the tax rates for potato spirit.
　　3. Basis for Tax assessment
　　（1）If the taxpayers sell category-A cigarettes and grain spirit and their prices for tax assessment are obviously lower than the retail prices at the places of production，the competent authorities shall report，level by level，to the State Administration of Taxation for determining the prices for tax assessment and shall levy tax according to the prices for tax assessment determined by the State Administration of Taxation.
　　The methods for determining the prices for tax assessment of grade-A cigarettes and grain spirit are specified separately.
　　（2）In accordance with the provisions of Article 17 of the Rules for Implementing the Provisional Regulations of the People's Republic of China on Consumption Tax，the national average cost-profit ratios for the taxable consumer goods are as follows：
　　A. Grade A cigarettes 10%
　　B. Grade B cigarettes 5%
　　C. Cigars 5%
　　D. Cut tobacco 5%
　　E. Liquors made from grains 10%
　　F. Liquors made from potatos 5%
　　G. Other alcoholic drinks 5%
　　H. Alcohol 5%
　　I. Cosmetics 5%
　　J. Skin-care and hair-care products 5%
　　K. Firecrackers and fireworks 5%
　　L. Precious jewelry and stones 6%
　　M. Motor vehicle tires 5%
　　N. Motorcycles 6%
　　O. Cars 8%
　　P. Cross-country vehicles 6%
　　Q. Minibuses and vans 5%
　　（3）The consumption tax for the following taxable consumer goods may be levied by taking the remainder of the sales amounts minus the purchasing prices of the taxed purchased consumer goods as the price for tax assessment.
　　A. Cigarettes produced with the taxed purchased cut tobacco；
　　B. Alcoholic drinks produced with the taxed purchased alcoholic drinks and alcohol（including the liquors produced by adding liquid to the taxed purchased liquors to reduce their alcoholic contents，by blending different types of taxed purchased liquors，by using leaven and essence to scent or flavor the taxed purchased liquors，and by bottling the taxed bulk-purchased liquors）；
　　C. Cosmetics made from taxed purchased cosmetics；
　　D. Skin-care and hair-care products made from taxed purchased skin- care and hair care products；
　　E. Precious jewelry and stones made from taxed purchased precious stones；
　　F. Firecrackers and fireworks made from taxed purchased firecrackers and fireworks.
　　The purchasing prices of the taxed purchased consumer goods refer to the selling prices indicated on the purchase invoices（excluding the amount of value-added tax）。
　　（4）For the following taxable consumer goods，the consumption tax paid for their raw materials may be deducted from their taxable consumption tax：
　　A. Cigarettes produced with the taxed cut tobacco received from consigned processing as the raw materials；
　　B. Alcoholic drinks produced with the taxed alcoholic drinks and alcohol received from consigned processing as the raw materials；
　　C. Cosmetics produced with the taxed cosmetics received from consigned processing as the raw materials；
　　D. Skin-care and hair-care products with the taxed skin-care and hair-care products received from consigned processing as the raw materials；
　　E. Precious jewelry and stones produced with the taxed jewelry and stones received from consigned processing as the raw materials；
　　G. Firecrackers and fireworks produced with the taxed firecrackers and fireworks received from consigned processing as the raw materials.
　　The paid consumption tax refers to the consumption tax withheld and paid by the consignees for the taxable consumer goods consigned for processing.
　　（5）If the taxpayers sell self-produced taxable consumer goods through their own non-independent accounting sales outlets，they shall pay the consumption tax according to the sales volume or sales amount of their sales outlets.
　　（6）If the taxpayers use the taxable consumer goods to exchange for means of production and means of consumption，to invest in shares or to offset debts，the highest selling prices of the same types of the taxable consumer goods of the taxpayers shall be used as the basis for consumption tax assessment.
　　4. Places of Tax Payment
　　In accordance with the provisions of Article 25 of the Rules for Implementing the Provisional Regulations of the People's Republic of China on Consumption Tax，the taxpayers，which have head offices and branch offices in different provinces（autonomous regions or municipalities directly under the central government），must receive the approval of the State Administration of Taxation if they want the head offices to consolidate the taxes and pay them at the places where the head offices are located. The taxpayers，which have head offices and branch offices in the same provinces（autonomous regions or municipalities directly under the central government）but in different counties（or cities），must receive the approval of the local branch bureaus of the State Administration of Taxation if they want the head offices to consolidate the taxes and pay them at the places where the head offices are located.
　　5. Tax Report and Payment
　　The method for taxpayers to report and pay taxes shall be chosen from one of the following methods by the local competent tax authorities in light of the practical conditions：
　　（1）The taxpayers file the tax return to the tax authorities on a regular basis，and complete the tax paying-in warrants and pay the taxes to the local banks that act as the treasury agents.
　　（2）The taxpayers file the tax return to the tax authorities on a regular basis，and pay the taxes as scheduled after the tax authorities examined the tax return and issued the paying-in warrants.
　　（3）With regard to the small businesses without sound accounting systems，the tax authorities may set their payable taxes on a quarterly or annual basis in light of the conditions of their production and sales and the taxes are paid on a monthly basis.
　　6. The Provisions enters into force on January 1，1994.
　　List of Cigarette-Producing Enterprises Included into National Plan
　　Beijing Cigarette Factory
　　Tianjin Cigarette Factory
　　Shijiazhuang Cigarette Factory
　　Baoding Cigarette Factory
　　Zhangjiakou Cigarette Factory
　　Taiyuan Cigarette Factory
　　Quwo Cigarette Factory
　　Huhhot Cigarette Factory
　　Ulaanhot Cigarette Factory
　　Shenyang Cigarette Factory
　　Yingkou Cigarette Factory
　　Jinzhou Cigarette Factory
　　Xiuyan Cigar Factory
　　Changchun Cigarette Factory
　　Siping Cigarette Factory
　　Yanji Cigarette Factory
　　Harbin Cigarette Factory
　　Suihua Cigarette Factory
　　Fujin Cigarette Factory
　　Luohe Cigarette Factory
　　Anyang Cigarette Factory
　　Xinxiang Cigarette Factory
　　Kaifeng Cigarette Factory
　　Shangqiu Cigarette Factory
　　Luoyang Cigarette Factory
　　Nanyang Cigarette Factory
　　Zhengzhou Cigarette Factory
　　Huaibin Cigarette Factory
　　Ruzhou Cigarette Factory
　　Guangshan Cigarette Factory
　　Dancheng Cigar Factory
　　Wuhan Cigarette Factory
　　Xiangfan Cigarette Factory
　　Zaoyang Cigarette Factory
　　Guangshui Cigarette Factory
　　Hong'an Cigarette Factory
　　Dangyang Cigarette Factory
　　Lichuan Cigarette Factory
　　Chongqing Cigarette Factory
　　Guiyang Cigarette Factory
　　Zunyi Cigarette Factory
　　Guiding Cigarette Factory
　　Bijie Cigarette Factory
　　Qingsong Cigarette Factory
　　Huangping Cigarette Factory
　　Tongren Cigar Factory
　　Guiding Cigarette Factory
　　Branch of Kunming Cigarette Factory
　　Yuxi Cigarette Factory
　　Qujing Cigarette Factory
　　Zhaotong Cigarette Factory
　　Chuxiong Cigarette Factory
　　Dali Cigarette Factory
　　Honghe Cigarette Factory
　　Huize Cigarette Factory
　　Suijiang Cigar Factory
　　Baoji Cigarette Factory
　　Hailin Cigarette Factory
　　Linkou Cigarette Factory
　　Muleng Cigar Factory
　　Shanghai Cigarette Factory
　　Nanjing Cigarette Factory
　　Xuzhou Cigarette Factory
　　Huaiyin Cigarette Factory
　　Hangzhou Cigarette Factory
　　Ningbo Cigarette Factory
　　Jiaxing Cigarette Factory
　　Hefei Cigarette Factory
　　Bengbu Cigarette Factory
　　Wuhu Cigarette Factory
　　Fuyang Cigarette Factory
　　Chuzhou Cigarette Factory
　　Bozhou Cigarette Factory
　　Dangshan Cigarette Factory
　　Mengcheng Cigar Factory
　　Xiamen Cigarette Factory
　　Longyan Cigarette Factory
　　Laifeng Cigarette Factory
　　Sanxia Cigarette Factory
　　Jiangling Cigar Factory
　　Jianshi Cigar Factory
　　Wuhan Cigarette Factory
　　Xianning Branch
　　Changsha Cigarette Factory
　　Changde Cigarette Factory
　　Chenzhou Cigarette Factory
　　Lingling Cigarette Factory
　　Longshan Cigarette Factory
　　Xinhuang Cigarette Factory
　　Qidong Cigarette Factory
　　Xinshao Cigarette Factory Fenghuang Cigar Factory
　　Guangzhou No. 1 Cigarette Factory
　　Guangzhou No. 2 Cigarette Factory
　　Shaoguan Cigarette Factory
　　Meizhou Cigarette Factory
　　Zhanjiang Cigarette Factory
　　Shenzhen Cigarette Factory
　　Yan'an Cigarette Factory
　　Xianyang Cigarette Factory
　　Chengcheng Cigarette Factory
　　Xunyang Cigar Factory
　　No. 1 Branch of Hanzhong Cigarette Factory
　　Lanzhou Cigarette Factory
　　Tianshui Cigarette Factory
　　Qingyang Cigarette Factory
　　Heshui Cigar Factory
　　Wuzhong Cigarette Factory
　　Ledu Cigarette Factory
　　Xinjiang Cigarette Factory
　　Branch of Kunming Cigarette Factory
　　Sunwu Cigarette Factory
　　Longyan Cigarette Factory
　　Yongding Branch
　　Guangfeng Cigarette Factory
　　Jinggangshan Cigarette Factory
　　Gannan Cigarette Factory
　　Xingguo Branch
　　Dancheng Cigar Factory
　　Zhoukou Cigarette Branch Factory
　　Yunxiao Cigarette Factory
　　Sheshan Cigarette Factory
　　Quanzhou Cigarette Factory
　　China American Cigarette Co. Ltd.
　　Nanchang Cigarette Factory
　　Gannan Cigarette Factory
　　Jinan Cigarette Factory
　　Qingdao Cigarette Factory
　　Qingzhou Cigarette Factory
　　Dezhou Cigarette Factory
　　Heze Cigarette Factory
　　Yantai Cigarette Factory
　　Tengzhou Cigarette Factory
　　Linqing Cigarette Factory
　　Yishui Cigarette Factory
　　Yanzhou Cigar Factory
　　Shandong-Rothmans Tobacco Co. Ltd.
　　Zhengzhou Cigarette Factory
　　Nanxiong Cigarette Factory
　　Nanhai Cigarette Factory
　　Nanning Cigarette Factory
　　Liuzhou Cigarette Factory
　　Yulin Cigarette Factory
　　Wuming Cigarette Factory
　　Zhongshan Cigarette Factory
　　Branch of Yulin Cigarette Factory
　　Zhongshan Cigarette Factory
　　Fuchuan Branch
　　Hainan Cigarette Factory
　　Chengdu Cigarette Factory
　　Sichuan Cigarette Factory
　　Shifang Cigarette Factory
　　Mianyang Cigarette Factory
　　Xichang Cigarette Factory
　　Fuling Cigarette Factory
　　Qianjiang Cigarette Factory
　　Wushan Cigarette Factory
　　Zhongshan Cigar Factory
　　Xianfeng Cigarette Factory
　　Dawu Cigarette Factory
　　Xunyang Cigarette Factory
　　Changyang Branch of Dangyang Cigarette Factory
　　Longhui Cigarette Factory
　　Sangzhi Cigarette Factory
　　Yongshun Cigarette Factory
　　Xintian Branch of Lingling Cigarette Factory
　　Xinzheng Cigarette Factory
　　Xuchang Cigarette Factory
　　Zhumadian Cigarette Factory
　　Peng'an Cigar Factory
　　Shifang Guangming Cigar Factory
　　Zhulin Cigarette Factory
　　Branch of Guilin Cigarette Factory
　　Liupanshui Cigarette Factory
　　Yibin Cigarette Factory
　　Luzhou Cigarette Factory
　　Wuling Cigarette Factory
　　Xingyi Cigarette Factory