software related to international trade

And software related to international trade, not all of them are exempt from customs duties, but taxed not download, but as software and hardware together tax carrier. In 1995, the Commission issued "on the WTO customs valuation software customs valuation decisions", on imported computer software allows members of tax based on two factors: the hardware carrier itself price or value; or the vector hardware plus software transaction price (paid or need to pay the price). China uses second methods to tariffs, the carrier and the database or software with price tax. In 2006 the "Chinese way" Customs dutiable value of import and export goods have stipulated in the third paragraph thirteenth: First: "containing text, software, music, pictures, images or other similar content of imported goods, including tape, disk, CD or other similar medium in the form of"; thirty-seventh: "the import of carrying for the data processing equipment for the software medium...... Should take the medium itself value or cost basis determine the dutiable value".

Apple's app download does not match the machine does not need to pay taxes

But hundreds of thousands of software for the Apple App store is not binding on the hardware products enter China Apple Corp. According to the "Customs Law", the customs of the means of transport of goods and articles, and entry and exit regulation of tariffs. Carrier of the Apple App store software service is not practical, do not belong to the category of customs supervision.

The domestic software developers rather than App Store the pay value added tax

China in the Apple App Store upload application software development company is independent distributors, 17% of the value-added tax to pay for their sales practices

The Apple App store business model, the Apple Corp does not play the usual "cost price - the price of commodities sales, earn price difference" role supermarket type distributor. Application software developers will be uploaded to App Store, can independent operation platform of their own products or applications, free pricing, independent adjustment of prices. Because the Apple App Store developers is the independent distributors, according to China's Ministry of finance, the State Administration of Taxation in October 13, 2011 published "on the policy of value-added tax software product notice" in paragraph 1 of Article 1: "value-added tax general taxpayer sells their own development and production of software products, according to 17% tax levy value-added tax policy, i.e. tax refund on value-added tax burden of more than 3% part."

Company registered in China business behavior pay value added tax, land value-added tax Chinese government cannot run App Store Luxemburg

Apple China customer service App Store isn't actually operating directly by the United States Apple Corp, but by AI Beth affiliated company located in Luxemburg is responsible for the operation and management. Ai Tongsi is the Chinese app store operators. Application stores provide information storage services to developers, and entrusted to collect fees from the end user, will all return to the developers in the deduction standard commission. Chinese judicial departments at the recent 2013 April "Apple Corp sued for copyright infringement" case never questioned the identity and deny the apple App Store operators of the Luxemburg company, natural Chinese government also can not exceed the statutory scope to impose a Luxemburg company's value-added tax.