July 26 2022

GAC Waives Administrative Penalties on Importers and Exporters Voluntarily Disclosing Tax-related Violations

Source: Announcement of General Administration of Customs

The General Administration of Customs ("GAC") released on July 1, 2022 the Announcement of Waiving Administrative Penalties on Voluntary Disclosure of Tax-related Violations, to be effective from July 1, 2022 until December 31, 2023.

According to the Announcement, importers and exporters will be waived from administrative penalties if they:

(1) make a voluntary disclosure of tax-related violations to the customs within six months from the date of the violations; or

(2) make a voluntary disclosure of tax-related violations to the customs after six months but within one year from the date of the violations, provided that the evaded or underpaid amount of taxes account for less than 30% of the taxes payable, or the evaded or underpaid amount of taxes is less than 1 million yuan.