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Taxes levied on online stores
个人网店征税武汉先行

Under new regulations, Wuhan-based retailers with a 'crown' rating and above on Chinese e-commerce giant Taobao.com need to pay city taxes on revenue.

Under new regulations, Wuhan-based retailers with a "crown" rating and above on Chinese e-commerce giant Taobao.com need to pay city taxes on revenue.
The Wuhan tax bureau has levied China's first tax on a personal online shop, charging My One Percent, a seller of women's dresses, 4.3 million yuan, the Chutian Metropolis Daily reported. 据《楚天都市报》报道,日前,武汉市国税局向淘宝个人女装网店“我的百分之一”征税430余万元,此举尚属国内首次。
Under new regulations, Wuhan-based retailers with a "crown" rating and above on Chinese e-commerce giant Taobao.com need to pay city taxes on revenue. 据此,在武汉的淘宝皇冠级以上网店都将被纳入该市税收征管范围。
My One Percent is a top seller of women's dresses on the site. It has three golden crowns, awarded for each 2 million deals completed by a vendor. 武汉网店“我的百分之一”是淘宝网女装销售冠军,信用级别达到3个金皇冠,意味着累计有200万笔以上交易。
The Wuhan tax bureau said annual sales of the shop in 2010 surpassed 100 million yuan, meaning it owed value-added tax, corporate income tax and late fees totaling 4.3079 million yuan. 武汉市国税局称,该店2010年销售额超过1亿元,该局征收其2010年的增值税、企业所得税、滞纳金,共计430.79万元。

Liao Jiangtao, the Deputy Secretary of the Wuhan E-commerce Association, said that e-commerce transactions, production and logistics are mobile; if Wuhan levies taxes first, online shop operators could move to other cities, hurting the local economy.

(China.org.cn June 30, 2011)

武汉市电子商务协会副秘书长廖江涛却表示,电子商务交易、生产和物流等环节都可以分离,如果武汉率先对个人网店征税,网商可以将经营转移到外地,那将是武汉的损失。

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