China announces new tax policy on gold

According to a VNA reporter in Beijing, the Ministry of Finance and the National Tax Administration of China have issued an official announcement clarifying new regulations on tax policy for gold.

China has just announced a new tax policy on gold. Photo: Cong Tuyen/VNA reporter in China

According to the announcement, from now until the end of 2027, members or customers trading standard gold through the Shanghai Gold Exchange and the Shanghai Futures Exchange will be exempt from value-added tax (VAT) when the seller conducts standard gold transactions. For transactions that do not involve physical delivery, the exchange will be completely exempt from VAT.

In the event of physical delivery, the policy will be clearly differentiated between investment and non-investment purposes: Standard gold for investment purposes is subject to VAT refund policy immediately after payment. Gold for non-investment purposes is exempt from VAT, while the buyer can deduct input tax at the rate of 6%.

Industry experts believe that the new policy is an important step in perfecting the gold market management mechanism, helping to more clearly distinguish between the commodity and financial attributes of gold. At the same time, this adjustment policy only applies to gold trading activities through the floor, without changing the tax policy for gold trading activities outside the trading floor.

Mr. Luong Quy, China Institute of Financial Sciences , commented that the implementation of the new policy will continue to enhance the international competitiveness and voice in pricing of the Chinese gold market, while promoting the construction of the Shanghai International Financial Center. In addition, this policy contributes to enhancing tax fairness, risk prevention, as well as improving the accuracy and standards in tax management.

Source: https://baotintuc.vn/kinh-te/trung-quoc-cong-bo-chinh-sach-thue-moi-doi-voi-vang-20251102061021842.htm