Rules for Tax Administrative Reconsideration

Chapter 1 General Provisions

article 1 For the purpose of further giving play to the role of administrative reconsideration in respect of settlement of disputes concerning tax administration, protecting the legitimate rights and interests of citizens, legal persons and other institutions, and regulating and guaranteeing the performance of functions by tax agencies, the Rules herein has been formulated in accordance with the Administrative Reconsideration Law of the People’s Republic of China (hereinafter referred to as the Administrative Reconsideration Law), the Law of the People’s Republic of China on Administration of Tax Collection and the Detailed Rules for the Implementation of the Administrative Reconsideration Law of the People’s Republic of China (hereinafter referred to as the Detailed Rules for the Implementation of the Administrative Reconsideration Law) by combining reality of tax works. 

article 2 The Rules herein shall be applied to the administrative reconsideration issues handled by the tax administrative reconsideration agency when any citizen, legal person or other institution (hereinafter referred to as the applicant) holds that any specific administrative action of the taxation agency infringe upon it/his legitimate rights and interests and applies for administrative reconsideration with the taxation agency. 

article 3 The tax administrative reconsideration agency herein (hereinafter referred to as the administrative reconsideration agency) refers to the tax agency responsible for accepting the applications for administrative reconsideration, investigating specific administrative actions and making administrative reconsideration decisions. 

article 4 Administrative reconsiderations shall be complied with the principles of being legitimate, fair, open, timely and convenient for citizens. 

The administrative reconsideration agency shall bear the concept of administration by law, enhance its sense of responsibility and service, diligently perform its functions of administrative reconsideration and correct errors so as to ensure proper implementation of laws. 

article 5 The administrative reconsideration agency may not make any administrative reconsideration decision worse to the applicant within the scope of administrative reconsideration request by the applicant. 

article 6 An applicant who refuses to accept the administrative reconsideration decision may file administrative proceedings with the People’s court. 

article 7 The administrative reconsideration agency that accepts an application for administrative reconsideration shall not collect any fee from the applicant. 

article 8 The administrative heads of taxation agencies at all levels shall take the primary responsibility for administrative reconsideration works and shall diligently perform their duties and functions and enhance organization and leadership of the said works. 

article 9 The administrative reconsideration agency shall provide specific places and other necessary conditions for consulting of case documents by applicants and a third party, inquiry, mediation and hearings. 

article 10 Taxation agencies at all levels shall increase inputs in infrastructure for administrative reconsideration, promote application of information technologies in administrative reconsideration works, provide equipment necessary for investigation and evidence collection including cameras, recorders and video cameras and for case handling including computers, scanners, projectors, facsimile apparatuses and duplicating machines, and ensure supply of transportation vehicles for case handling and corresponding expenditure. 
Chapter 2 Tax Administrative Reconsideration Organ and Its Staff

article 11 The organs under administrative reconsideration agencies at all levels responsible for law works (hereinafter referred to as the administrative reconsideration organs) shall handle administrative reconsideration issues according to law and perform the following functions and duties: 

(1) Accepting applications for administrative reconsideration; 

(2) Making investigations and collecting evidences from the relevant organizations and persons and referring to relevant documents and materials; 

(3) Inspecting the legality and appropriateness of any of specific administrative actions being applied for administrative reconsideration and drafting an administrative reconsideration decision; 

(4) Dealing with or forwarding an application for review of the relevant provisions as listed in article 15 herein; 

(5) Giving proposals on disposal of any action in violation of the provisions of the Administrative Reconsideration Law and its Detailed Rules for the Implementation and the Rules herein to the relevant departments in accordance with statutory authorities and procedures; 

(6) Studying issues arising from administrative reconsideration works and timely giving proposals on improvement to the relevant agencies or departments; and reporting to the administrative reconsideration agency any material issue in a timely way; 

(7) Guiding and supervising the administrative reconsideration works of the taxation agencies at lower levels; 

(8) Handling or organizing the disposal of issues concerning response to administrative proceedings; 

(9) Handling compensation issues relating to administrative reconsideration cases; 

(10)Handling works on statistics, report and filing of cases concerning administrative reconsideration, proceedings and compensation and filing of major administrative reconsideration decisions; and 

(11)Other issues related to administrative reconsideration works. 

article 12 Administrative reconsideration agencies at all levels may set up administrative reconsideration committees to study major cases difficult to handle and give reasonable suggestions. 

The administrative reconsideration committee may invite persons with relevant expertise from the outside to join. 

article 13 The staff for administrative reconsideration shall have certain moral character, expertise and capacity that qualified for performance of the functions of administrative reconsideration and obtain the qualifications required by the Detailed Rules for the Implementation of the Administrative Reconsideration Law. 


Chapter 3 Scope of Tax Administration Reconsideration

article 14 The administrative reconsideration agency may accept the applications for administrative reconsideration of any of the following specific administrative actions of tax agencies: 

(1) Tax collection, including specific administrative actions such as determination of subject, object and scope of taxation, tax reduction, exemption and reimbursement, credit tax, applicable tax rate, tax calculation bases, intermediate links of taxation, tax payment deadline and place and means of tax collection, and collection of tax, additional collection of overdue fines, and withholding and tax collection actions conducted by any withholding agent and withholding unit and individual entrusted by taxation agencies; 

(2) Administrative licensing and administrative examination and approval; 

(3) Administration of invoices, including sale, confiscation and commissioned issuance of invoices; 

(4) Tax protective measures and mandatory execution measures; 

(5) Administrative punishments: 

① Fine; 

② Confiscation of property and illegal gains; or 

③ Termination of the right of export rebates; 

(6) Failure to performance of any of the following functions and duties: 

① Issuance of tax registration certificate; 

② Issuance and producing of tax payment vouchers and certificates for administration of tax on outbound business activities; 

③ Administrative compensation; 

④ Administrative award; and 

⑤ Other actions failing to perform duly functions and duties; 

(7) Recognition of any qualification; 

(8) Failure to determine the security of tax payment according to law; 

(9) Specific administrative actions in publicity of government information; 

(10)Assessment of credit rating concerning tax payment; 

(11)Notifying the entry and exit administration to check exit; and 

(12)Other specific administrative actions. 

article 15 Where an applicant holds any of the following provisions on which the specific administrative actions of tax agencies are based is illegitimate and applies for administrative reconsideration of any specific administrative action, it/he may file and application for review of the relevant provisions with the administrative reconsideration agency. If the applicant does not know which provisions are the specific administrative actions based on when filing the administrative reconsideration application, it/he may request for review of those provisions before the administrative reconsideration agency makes any administrative reconsideration decision: 

(1) The provisions promulgated by the SAT and other departments under the State Council; 

(2) The provisions promulgated by the tax agencies at other levels; 

(3) The provisions promulgated by local People’s governments at all levels; and 

(4) The provisions promulgated by relevant departments under local People’s governments. 

The aforesaid provisions shall not include regulations. 

Chapter 4 Jurisdiction of Tax Administrative Reconsideration 

article 16 An applicant who refuses to accept any specific administrative action of an office of the SAT at any level may apply to the office of the SAT at a higher level for administrative reconsideration. 

article 17 An applicant who refuses to accept any specific administrative action of a local tax bureau at any level may apply to the local tax bureau at a higher level or the People’s government at the same level for administrative reconsideration. 

If any People’s Congress and its standing committee and People’s government of provinces, autonomous regions and municipalities directly under the Central Government have other provisions on local tax bureau’s jurisdiction of administrative reconsideration, those provisions shall prevail. 

article 18 An applicant who refuses to accept any specific administrative action of the SAT may file an application for administrative reconsideration with the SAT. In case it/he refuses to accept the administrative reconsideration decision, the applicant may file administrative proceedings with the People’s court or apply to the State Council for decision. The decision of the State Council shall be final.

article 19 An applicant who refuses to accept any specific administrative action of any of the following tax agencies may apply for administrative reconsideration according to the following provisions: 

(1) An applicant who refuses to accept any specific administrative action of the tax bureau of a separately planning city may apply to the provincial tax bureau for administrative reconsideration. 

(2) An applicant who refuses to accept any specific administrative action of the tax office (sub-bureau) and the inspection bureau under tax bureaus at any level may apply to the said tax bureau for administrative reconsideration. 

(3) An applicant who refuses to accept any specific administrative action jointly made by more than two tax agencies may file an application for administrative reconsideration with their common tax agency at a higher level; if it/he refuses to accept any specific administrative action jointly made by the tax agency and other administrative agency, the applicant may file an application for administrative reconsideration with their common administrative agency at a higher level. 

(4) An applicant who refuses to accept any specific administrative action made by a cancelled tax agency before its cancellation may file an application for administrative reconsideration with the tax agency at a higher level that has still executed its functions. 

(5) An applicant who refuses to accept the decision of the tax agency on addition of fines for failure to pay fines within the time limit may apply to the tax agency which has made the said administrative punishment for administrative reconsideration. If the applicant refuses to accept both decisions on fines and addition of fines, it/he may apply to the tax agency at the level higher than the said tax agency for administrative reconsideration. 

In any of the circumstances as listed in the preceding paragraph (2), (3), (4) and (5), an applicant may submit an administrative reconsideration application to local People’s government at the county level in the place where the specific administrative action occurs and the latter may forward the application it accepts according to law. 


Chapter 5 Applicant and Respondent for Tax Administrative Reconsideration

article 20 Where a partnership enterprise applies for administrative reconsideration, the enterprise whose registration is approved by the administration for industry and commerce shall be the applicant and the partner who executes partnership affairs shall participate in the administrative reconsideration on behalf of the enterprise. Where other partnership organizations apply for administrative reconsideration, the administrative reconsideration shall be jointly applied by partners. 

Where any other organization without corporate capacity beyond the cases as prescribed in the preceding paragraph applies for administrative reconsideration, the major principal of the organization shall participate in the administrative reconsideration on behalf of the organization; in case there is no major principal, other elected member may participate in the administrative reconsideration on behalf of the organization. 

article 21 Where the general meeting of shareholders, the shareholders’ representative meeting or the board of directors of a joint-stock enterprise holds any specific administrative action of the tax agency infringe upon the legitimate rights and interests of the enterprise, it may apply for administrative reconsideration in the name of the enterprise. 

article 22 In case of death of the citizen who has the right to apply for administrative reconsideration, his/her near relatives may apply for administrative reconsideration. If the citizen who has the right to apply for administrative reconsideration is a person without or with limited civil capacity, his/her legal proxy may apply for administrative reconsideration. 

In case of merger, splitting or termination of the legal person or other organization that has the right to apply for administrative reconsideration, the legal person or other organization that take over its rights and obligations may apply for administrative reconsideration. 

article 23 During the process of administrative reconsideration, when the administrative reconsideration agency holds that any citizen, legal person or other organization besides the applicant is an interested party in the case relating to the specific administrative action under review, it may notify it/he to participate in the administrative reconsideration as a third party. 

During the process of administrative reconsideration, any citizen, legal person or other organization besides the applicant that is an interested party in the case relating to the specific administrative action under review may apply to the administrative reconsideration agency to participate in the administrative reconsideration as a third party. 

The non-participation of a third party in the administrative reconsideration may not affect the handling of the administrative reconsideration cases. 

article 24 Where any citizen, legal person or other organization is not the relative person subject to administration with specific administrative actions, while their rights have been deprived or restricted or any obligation has been imposed on it/him due to the specific administrative action directly, it/he may separately apply for administrative reconsideration when the relative person subject to administration does not apply for administrative reconsideration. 

article 25 Where the applicants of the same administrative reconsideration case exceed five, one to five representatives shall be elected to participate in the administrative reconsideration. 

article 26 Where an applicant refuses to accept a specific administrative action and applies for administrative reconsideration, the tax agency which has conducted the said specific administrative action shall be the respondent. 

article 27 Where an applicant refuses to accept the tax withholding action of a withholding agent, the tax agency administrating the withholding agent shall be the respondent. Where an applicant refuses to accept the action of tax collection by a unit or individual entrusted by the tax agency, the tax agency that conducts the entrustment shall be the respondent. 

article 28 Where the specific administrative action is jointly made by the tax agency and the organizations authorized by laws and regulations, the tax agency and the said organizations shall be the joint respondents. 

Where the tax agency and other organizations jointly conduct a specific administrative action, the tax agency shall be the respondent. 

article 29 Where a tax agency makes a specific administrative action upon the approval of the tax agency at a higher level in according with laws, regulations and provisions, the agency that gives the approval shall be the respondent. 

Where an applicant refuses to accept the decision made according to the procedures for trial of material tax cases, the tax agency where the trial committee is located shall be the respondent. 

article 30 Where the delegated agency, the inside agency or other organization set up by a tax agency makes any specific administrative action in its own name without authorization of laws and regulations, the tax agency shall be the respondent. 

article 31 An applicant and a third party may entrust one or two proxies to participate in administrative reconsideration. The applicant and a third party who entrust proxies shall submit the power of attorney to the administrative reconsideration organ. The power of attorney shall indicate the matters entrusted, the power conferred and the term. The citizen who cannot make entrustment in written form in special conditions may make an oral entrustment. In case of oral entrustment, the administrative reconsideration organ shall check the case and note it down. If the applicant or a third party cancels or changes the entrustment, it/he shall notify the administrative reconsideration organ in written form. 

The respondent shall not entrust any person other than the staff of the agency to participate in administrative reconsideration. 


Chapter 6 Application for Tax Administrative Reconsideration

article 32 An applicant may file an application for administrative reconsideration within 60 days since it/he knows the tax agency makes the specific administrative action. 

If the statutory application period is delayed due to force majeure or obstacles set up by the respondent, the time wasted shall be deducted in calculation of the application period. 

article 33 Where an applicant refuses to accept any of the actions as prescribed in article 14 (1) herein, it/he shall firstly apply to the administrative reconsideration agency for administrative reconsideration. If it/he refuses to accept any administrative reconsideration decision, it/he may file administrative proceedings with the People’s Court. 

When applying for administrative reconsideration according to the preceding provisions herein, the applicant may, after paying the tax and overdue fines or submitting the withholding tax and overdue fines in advance according to the amount and time limit prescribed in laws and regulations or providing corresponding security, apply for administrative reconsideration within 60 days upon the date when the tax and overdue fines has been paid or the security provided has been confirmed by the tax agency which has made the specific administrative action. 

The means of security provided by the applicant includes guarantee, mortgage and pledge. The tax agency which has made the specific administrative action shall review the qualification and credit standing of the guarantor and is entitled to refuse the guarantor without the qualifications required by law or without the capacity for security. The tax agency which has made the specific administrative action shall review the mortgage guarantee or pledge guarantee provided by the mortgagor or pledger and may refuse the mortgage guarantee or pledge guarantee that does not meet the requirements of laws. 

article 34 The applicant who refuses to accept other specific administrative actions beyond those prescribed in article 14 (1) herein may apply for administrative reconsideration or directly file administrative proceedings with the People’s court. 

The applicant who refuses to accept the decision of the tax agency on addition of fines for failure to pay fines within the time limit shall pay fines and the additional fines before applying for administrative reconsideration. 

article 35 The application period for administrative reconsideration as prescribed in Paragraph 1 of article 32 herein shall be calculated according to the following provisions: 

(1) If the specific administrative action is conducted onsite, the period shall be calculated from the conduction of the said action. 

(2) If the legal document stating the specific administrative action is directly delivered, the period shall be calculated from the date of acceptance by the recipient. 

(3) If the legal document stating the specific administrative action is delivered by mail, the period shall be calculated from the date of signature on the proof of delivery by the recipient; if there is no proof of delivery, it shall be calculated from the date of signature on the return receipt by the recipient. 

(4) If the receipt is notified the specific administrative action by means of announcement according to law, the period shall be calculated from the date of expiry of the term as prescribed in the announcement. 

(5) If the tax agency fails to notify the applicant when making the specific administrative action and makes a supplementary notice later, the period shall be calculated from the date of acceptance of the said supplementary notice by the recipient. 

(6) If the respondent is able to prove the applicant knows the specific administrative action, the period shall be calculated from the date when the applicant knows the specific administrative action as shown by the evidence. 

If the tax agency has made a specific administrative action and shall deliver a legal document to the applicant according to law while not, it shall be deemed that the applicant does not know the specific administrative action. 

article 36 Where an applicant applies for performance of statutory functions and duties by the tax agency in accordance with article 6 (8), (9) and (10) of the Administrative Reconsideration Law, while the tax agency fails to perform, the application period for administrative reconsideration shall be calculated according to the following provisions: 

(1) If there is any provision on the term for performance, the period shall be calculated from the date of expiry of the said term. 

(2) If there is no provision on the term for performance, the period shall be calculated after 60 days since the tax agency receives the application. 

article 37 Where the tax agency makes any specific administrative action that may be adverse to the rights or obligations of the applicant, it shall notify the applicant of its/his right to apply for administrative reconsideration, the administrative reconsideration agency and the application period for administrative reconsideration. 

article 38 The applicant who files a written application for administrative reconsideration may submit the application by means of delivery in person, mail or fax. 

The administrative reconsideration agency equipped with certain devices may accept the administrative reconsideration applications in forms of e-mail. 

For the administrative reconsideration applications submitted in forms of fax and e-mail, the administrative reconsideration agency shall verify the identity of the applicant and matter for reconsideration. 

article 39 The applicant who files a written application for administrative reconsideration shall state the following issues in its/his application: 

(1) The basics of the applicant, including his/her name, sex, date of birth, ID No., unit, domicile, zip code and telephone; the name, domicile, zip code and telephone of the legal person or other organization as well as the name and position of its legal representative or principal; 

(2) The name of the respondent; 

(3) The request for administrative reconsideration and the major facts and grounds for application for administrative reconsideration; 

(4) The signature or seal of the applicant; and 

(5) The date of the application for administrative reconsideration. 

article 40 Where an applicant makes an oral application for administrative reconsideration, the administrative reconsideration agency shall note down the said application onsite according to the issues required in article 39 and let the applicant check the document or read it to the applicant and obtain his/her confirmation. 

article 41 In any of the following circumstances, an applicant shall provide evidentiary materials: 

(1) The applicant who holds the respondent fails to perform its statutory functions and duties shall provide the materials proving it/he has request the respondent to perform its statutory functions and duties while the latter does not do. 

(2) The applicant who files a request for administrative compensation in its/his application for administrative reconsideration shall provide the materials proving its/his damages or losses incurred by the specific administrative action. 

(3) Other circumstances that are required applicants to provide evidentiary materials according to laws and regulations. 

article 42 Where the applicant lists improper respondent in its/his application for administrative reconsideration, the administrative reconsideration agency shall notify the applicant to change the respondent. If the applicant fails to change the respondent, the administrative reconsideration agency may refuse to accept or turn down the application. 

article 43 Where an applicant has filed an application for administrative reconsideration with the administrative reconsideration agency and the latter has accepted the application, the applicant shall not file administrative proceedings with the People’s court within the statutory period for administrative reconsideration. If the applicant has filed administrative proceedings with the People’s court and the latter has accepted the application, the applicant shall not apply for administrative reconsideration. 


Chapter 7 Acceptance of Tax Administrative Reconsideration

article 44 Where an application for administrative reconsideration conforms to the following provisions, the tax administrative reconsideration agency shall accept the application: 

(1) The application is under the jurisdiction of the provisions on administrative reconsideration herein; 

(2) The application is filed within the statutory application period; 

(3) There are definite applicants and proper respondents; 

(4) The specific administrative action affects the interests or rights of the applicant; 

(5) There are specific request and grounds for administrative reconsideration; 

(6) Conditions as prescribed in article 33 and 34 herein are satisfied; 

(7) The application is under the jurisdiction of the administrative reconsideration agency which receives the application; and 

(8) Other administrative reconsideration agency has not accepted the same application for administrative reconsideration and the People’s court has not accepted the application for administrative proceedings filed by the same applicant for the same issue. 

article 45 After receiving an application for administrative reconsideration, the administrative reconsideration agency shall make a review and decide whether to accept it or not within 5 days. The administrative reconsideration agency may not accept the application if it does not conform to the provisions herein and notify the applicant in written form. 

For any application for administrative reconsideration beyond the jurisdiction of the agency that receives the application, the agency shall notify the applicant to submit the application to the relevant administrative reconsideration agency. 

If the administrative reconsideration agency fails to review the application for administrative reconsideration after receiving it and make a decision on whether to accept it or not, the application shall be deemed as accepted. 

article 46 The applications for administrative reconsideration conformance to provisions shall be deemed as accepted since reception by the administrative reconsideration agency. The administrative reconsideration agency shall notify the applicant in written form of the acceptance of the said application. 

article 47 Where the application materials for administrative reconsideration is incomplete or unclearly expressed, the administrative reconsideration agency may notify the applicant to make supplement or correction in written form within 5 days since receiving the application for administrative reconsideration. The said notice shall state the issues to be supplemented or corrected and the reasonable time limit for such supplement and correction. The failure of the applicant to make supplement or correction within the time limit without reasonable grounds shall be deemed as abandonment of the application for administrative reconsideration by the applicant. 

The time used for supplement or correction of application materials shall not be calculated into the period for administrative reconsideration. 

article 48 Where the tax agency at a higher level holds that the grounds for refusal of an application for administrative reconsideration by the administrative reconsideration agency do not hold water, it may urge the latter to accept the application. If the latter still refuse to accept the application, the former may order it to accept the application within a time limit. 

Where the tax agency at a higher level holds that the application for administrative reconsideration does not conform to the conditions of acceptance, it shall notify the applicant. 

article 49 The tax agency at a higher level may, if necessary, directly accept or review the administrative reconsideration case under the jurisdiction of the tax agency at a lower level. 

article 50 With respect to the specific administrative action for which the applicant may apply to the administrative reconsideration agency for administrative reconsideration and then file administrative proceedings with the People’s court if it/he refuses to accept the administrative reconsideration decision, while the administrative reconsideration agency has decided to refuse to accept it or failed to make any response beyond the period for administrative reconsideration after accepting it, the applicant may file administrative proceedings with the People’s court according to law since it/he receiving the decision on refusal of acceptance or within 15 days after expiry of the term for administrative reconsideration. 

If the period for administrative reconsideration is extended in accordance with the provisions as prescribed in article 83 herein, the date extended shall be the date of expiry of the term for administrative reconsideration. 

article 51 During the period for administrative reconsideration, the execution of specific administrative actions shall not be stopped, but such execution may be stopped in any of the following circumstances: 

(1) The respondent holds such execution shall be stopped; 

(2) The administrative reconsideration agency holds the execution shall be stopped; 

(3) The applicant applies for stop of the execution and the administrative reconsideration agency holds such request is reasonable and decides to stop the execution; or 

(4) The execution is stopped by laws. 


Chapter 8 Evidences for Tax Administrative Reconsideration

article 52 Evidences for administrative reconsideration include the following types: 

(1) Documented evidences; 

(2) Material evidences; 

(3) Audiovisual materials; 

(4) Witness’s testimony; 

(5) Statements of the party concerned; 

(6) Conclusion of evaluation; and 

(7) Notes of investigation and notes made on the scene. 

article 53 In the administrative reconsideration, the respondent shall bear the burden of proof for its specific administrative action. 

article 54 The administrative reconsideration agency shall fully examine the relevant evidences according to law. The review of the administrative reconsideration case by the administrative reconsideration agency shall be based on the facts proved by evidences. The evidences that could be used to determine the case shall be of legitimacy, authenticity and relevancy. 

article 55 The administrative reconsideration agency shall examine the legitimacy of the evidences in the following respects according to the specific situations of a case: 

(1) Whether the evidences conform to the legal form; 

(2) Whether the obtaining of evidences conforms to the provisions of laws, regulations and judicial interpretations; and 

(3) Whether there are other circumstances in violation of laws which may affect the force of evidences. 

article 56 The administrative reconsideration agency shall examine the authenticity of the evidences in the following respects according to the specific situations of a case: 

(1) The causes for the formation of those evidences; 

(2) The circumstances where the evidences are discovered; 

(3) Whether the evidences are originals or whether the copies or duplicates are consistent with the originals; 

(4) For participators of the administrative reconsideration, whether the evidence providers or witnesses are interested persons; and 

(5) Other factors that may affect the authenticity of evidences. 

article 57 The administrative reconsideration agency shall examine the relevancy of the evidences in the following respects according to the specific situations of a case: 

(1) Whether the evidences can used to prove the facts to be proved; 

(2) The relevancy between the evidences and the facts to be proved; and 

(3) Other factors that may affect the relevancy of evidences. 

article 58 The following evidentiary materials shall not be used as the basis for determination of a case: 

(1) Any evidentiary material collected by any means in violation of legal procedures; 

(2) Any evidentiary material obtained by means of covert photographing and recording and wire tapping which may infringe upon the legitimate rights and interests of others; 

(3) Any evidentiary material obtained by wrongful means such as lure, fraud, menace and violence; 

(4) Any evidentiary material provided beyond the period for producing of evidences without due reasons; 

(5) The copies or duplicates of any originals which the provider refuses to produce without due reasons, which cannot be verified by other evidences and the other party refuses to acknowledge; 

(6) Any evidentiary material whose authenticity cannot be identified; 

(7) Any testimony provided by any witness who is not able to truly express his/her will; and 

(8) Other evidentiary materials without legitimacy and authenticity. 

The relevant materials obtained by the administrative reconsideration agency through its functions as prescribed in article 11 (2) herein shall not be used as the evidences for support of the specific administrative action of the respondent. 

article 59 The respondent shall not separately collect evidences from the applicant and other relevant organization or individual by itself in the process of administrative reconsideration. 

article 60 The administrative reconsideration agency may make investigations and collect evidences when it thinks it is necessary. 

When making investigations and collecting evidences, the staff for administrative reconsideration may consult, copy and take the relevant documents and materials and inquire the relevant persons. In this process, the staff members for administrative reconsideration shall be no less than two and all of them shall produce their certificates to the parties concerned and the relevant persons. The units and individuals under investigation shall give assistances to the staff for administrative reconsideration and shall not make any refusal or obstacle. 

If onsite inspection is required, the time used for such onsite inspection shall not be included in the period for administrative reconsideration. 

article 61 An applicant and a third party may refer to the written replies and the evidences, bases and other relevant materials for making of the specific administrative action provided by the respondent, and unless those documents relates to state secrets, business secrets or privacy, the administrative reconsideration agency shall not refuse. 


Chapter 9 Review and Decision of Tax Administrative Reconsideration

article 62 The administrative reconsideration organ shall deliver the duplicate of the application for administrative reconsideration or the copy of the notes of the application for administrative reconsideration to the respondent within 7 days upon acceptance of the application for administrative reconsideration. The respondent shall provide a written reply as well as the evidences and bases for making of the specific administrative action and other relevant materials within 10 days after receiving the duplicate of the application or the copy of the notes of the application. 

With respect to the cases where the applicant refuses to accept any specific administrative action made by the SAT and files an application for administrative reconsideration, the relevant organ which has made the specific administrative action shall provide a written reply as well as the evidences and bases for making of the specific administrative action and other relevant materials to the administrative reconsideration agency. 

article 63 When trying the administrative reconsideration cases, the administrative reconsideration organ shall arrange more than 2 staff members to attend the administrative reconsideration. 

article 64 In principle, the method of written review shall be adopted in administrative reconsideration, but when the applicant makes a request or the administrative reconsideration organ holds it is necessary, the organ shall take into consideration of the opinions of the applicant, the respondent and a third party, and may conduct an investigation and know information from the relevant organizations and persons. 

article 65 For any material and complicated case, when the applicant makes a request or the administrative reconsideration organ thinks it is necessary, hearings may be held for the case. 

article 66 When the administrative reconsideration organ decides to hold a hearing, it shall notify the applicant, the respondent and a third party of the time, venue and specific requirements of the hearing. 

The non-participation of a third party in the hearing may not impact the hearing. 

article 67 A hearing shall be open unless it relates to state secrets, business secrets or privacy. 

article 68 The staff members serving an administrative reconsideration hearing shall be no less than two and the president of the hearing shall be designated by the administrative reconsideration organ. 

article 69 A hearing shall be noted. The applicant, the respondent and a third party shall confirm the contents of the notes. 

The notes of the administrative reconsideration hearing shall be attached to the case documents as one of bases for trial of the case by the administrative reconsideration organ. 

article 70 The administrative reconsideration agency shall fully examine the legitimacy and appropriateness of the factual proofs, legal procedures, legal basis and rights and obligations on which the specific administrative action of the respondent is based. 

article 71 If an applicant intends to withdraw its/his application for administrative reconsideration before the administrative reconsideration decision is made, it/he may withdraw the application upon consent of the administrative reconsideration organ. 

If the applicant withdraws its/his application for administrative reconsideration, it/he shall not file an application for administrative reconsideration for the same matter with the same grounds again, unless the applicant can prove its/his withdrawal of the former application goes against its/his true will. 

article 72 The change of the former specific administrative action by the respondent during the process of administrative reconsideration may not impact the trial of the administrative reconsideration case, unless the respondent withdraws its/his application for administrative reconsideration according to law. 

article 73 Where an applicant applies to review the relevant provisions in accordance with article 15 herein when filing an application for administrative reconsideration, if the administrative reconsideration agency has the authority to deal with the provisions, it shall handle the application within 30 days according to law; if not, it shall forward the application to the administrative agency which has the authority for handling according to legal procedures within 7 days and the latter shall handle the application within 60 days. During this process, the examination of the specific administrative action shall be suspended. 

article 74 When examining the specific administrative action of the respondent and holding the basis for such action is illegal, the administrative reconsideration agency shall handle the case within 30 days if it has the authority for handling; if not, it shall forward the case to the state agency which has the authority for handling according to legal procedures within 7 days. During this process, the examination of the specific administrative action shall be suspended. 

article 75 The administrative reconsideration organ shall give the opinions of reviewer on the specific administrative action of the respondent and make the administrative reconsideration decision upon approval of the principal of the administrative reconsideration agency according to the following provisions: 

(1) If the facts concerning the specific administrative action are clear, the original decision is made on a proper basis with proper contents through legal procedures, and evidences are authentic, the original decision shall be maintained. 

(2) If the respondent fails to perform its/his statutory functions and duties, it shall be ordered to perform those functions and duties within certain time limit. 

(3) In any of the following circumstances, the decision on the specific administrative action shall be canceled or changed or the specific administrative action shall be deemed as illegal. When the original decision is cancelled or the specific administrative action is confirmed as illegal, the respondent shall be ordered to remake the specific administrative action within certain time limit: 

① Where the major facts are unclear and evidences are not sufficient; 

② Where the basis for the action is unsound; 

③ Where the legal procedures are not followed; 

④ Where the respondent acts beyond its authority or abuses its authority; or 

⑤ Where the specific administrative action is obviously improper. 

(4) If the respondent fails to provide a written reply and submit the evidences, basis and other materials relevant to its decision on the specific administrative action in accordance with the provisions of article 62 herein, the specific administrative action shall be deemed as proofless and groundless and such action shall be canceled. 

article 76 Where the administrative reconsideration agency orders the respondent to remake a specific administrative action, the respondent shall not make any specific administrative action similar or basically similar to the original specific administrative action with the same facts and grounds, except for the situation when the administrative reconsideration agency cancels the original specific administrative action for the reason of violation of legal procedures and orders the respondent to remake the specific administrative action. 

When the administrative reconsideration agency orders the respondent to remake any specific administrative action, the respondent shall not make any decision worse to the applicant, except for the situation when the administrative reconsideration agency cancels the action for the reason of unclarity of major facts, insufficiency of evidences or improperness of bases and orders the respondent to remake the specific administrative action. 

article 77 In any of the following circumstances, the administrative reconsideration agency may make a decision on change: 

(1) Where the agency finds that facts are clear, evidences are sufficient and procedures are legal, while the action is obviously improper or the basis is wrong; or 

(2) Where the agency finds that facts are unclear and evidences are insufficient, while the facts become clear and evidences become authentic after trial by the administrative reconsideration agency. 

article 78 In any of the following circumstances, the administrative reconsideration agency shall turn down an application for administrative reconsideration: 

(1) Where the applicant files the administrative reconsideration application for the reason of failure of performance of statutory functions and duties by the tax agency and the administrative reconsideration agency finds that the said tax agency does not have the corresponding statutory functions or duties after accepting the application or that the said agency has performed its statutory functions and duties before accepting the application; or 

(2) Where the administrative reconsideration agency finds out that the application for administrative reconsideration does not conform to the Administrative Reconsideration Law and the Detailed Rules for the Implementation thereof as well as conditions for acceptance herein after accepting the application for administrative reconsideration. 

If the tax agency at a higher level holds that the turndown of the administrative reconsideration application by the administrative reconsideration agency is unfounded, it shall order the latter to accept the application within a time limit. The time wasted due to turndown of the application shall be deducted in calculation of the period for handling of the application for administrative reconsideration by the administrative reconsideration agency. 

article 79 During the process of administrative reconsideration, in any of the following circumstances, the administrative reconsideration shall be suspended: 

(1) Where the citizen as the applicant dies and his/her near relatives have not decided whether to participate in the administrative reconsideration; 

(2) Where the citizen as the applicant has lost his/her capacity for participating in the administrative reconsideration and has not decided who shall be his/her legal representative to participate in the administrative reconsideration; 

(3) Where the legal person or other organization as the applicant has terminated and the successor to its rights and obligations has not been determined yet; 

(4) Where the whereabouts of the citizen as the applicant is unknown or the citizen is announced missing; 

(5) Where the applicant and respondent cannot participate in the administrative reconsideration due to force majeure; 

(6) Where the administrative reconsideration agency cannot perform its functions and duties for a time due to force majeure; 

(7) Where the case involves application of laws, which shall be interpreted or confirmed by the competent authority; 

(8) Where the trial of the case shall be based on the results of other cases while the said cases have not been decided yet; or 

(9) Other circumstances where the administrative reconsideration needs to be suspended. 

After the causes for suspension of the administrative reconsideration have been eliminated, the trial of the administrative reconsideration cases shall be resumed as soon as possible. 

The applicant, the respondent and a third party shall be notified of the suspension or resumption of the trial of any administrative reconsideration case by the administrative reconsideration organ. 

article 80 During the process of administrative reconsideration, in any of the following circumstances, the administrative reconsideration shall be terminated: 

(1) Where the applicant requests for withdrawal of the application for administrative reconsideration and the administrative reconsideration organ approves the request; 

(2) Where the citizen as the applicant dies and has no near relative or his/her near relative waives the right for administrative reconsideration; 

(3) Where the legal person or other organization as the applicant terminates and the successor to its rights and obligations waives the right for administrative reconsideration; 

(4) Where the applicant and the respondent have reached a conciliation upon approval of the administrative reconsideration organ in accordance with article 87 herein; or 

(5) Where after accepting the application for administrative reconsideration, the administrative reconsideration agency finds out that other administrative reconsideration agency has accepted this application ahead of it or the People’s court has accepted the case. 

Where any administrative reconsideration has been suspended in accordance with article 79 (1), (2) and (3) herein, if the causes for such suspension have not been eliminated within 60 days, the administrative reconsideration shall be terminated. 

article 81 Where the administrative reconsideration agency orders the respondent to remake a specific administrative action, the respondent shall remake the specific administrative action within 60 days; in case situations are complicated and the specific administrative action cannot be remade within the prescribed time limit, the period may be properly extended upon approval of the administrative reconsideration agency while the extension shall not exceed 30 days. 

The citizen, legal person or other organization that refuses to accept the specific administrative action remade by the respondent may file an application for administrative reconsideration according to law or file administrative proceedings. 

article 82 An applicant may make the request for administrative compensation when applying for administrative reconsideration. If the compensation shall be provided in accordance with the provisions of the compensation law, the administrative reconsideration agency shall, when deciding to cancel or change the specific administrative action or confirming the specific administrative action is illegal, decide that the respondent shall make compensations according to law. 

If the applicant does not make the request for administrative compensation when applying for administrative reconsideration, the administrative reconsideration agency shall, when deciding to cancel or change the tax, overdue fines and fines decided by the original specific administrative action and the mandatory measures including detention and seizure of properties, order the respondent to return the tax, overdue fines and fines and release the said mandatory measures, or make compensates equal to the corresponding price. 

article 83 The administrative reconsideration agency shall make an administrative reconsideration decision within 60 days upon acceptance of an application. In case situations are complicated and the administrative reconsideration decision cannot be made within the prescribed time limit, the period may be properly extended upon approval of the principal of the administrative reconsideration agency while the extension shall not exceed 30 days. The applicant and the respondent shall be informed. 

The administrative reconsideration agency which makes the administrative reconsideration decision shall prepare the document of administrative reconsideration decision and affix the official seal of the administrative reconsideration agency. 

The document of the administrative reconsideration decision shall enter into force upon delivery. 

article 84 The respondent shall execute the administrative reconsideration decision. 

If the respondent fails to execute the administrative reconsideration decision or delays the execution without any due reason, the administrative reconsideration agency or the tax agency at the higher level shall order it to execute the decision within a time limit. 

article 85 Where an applicant or a third party does not file any proceedings while does not execute the administrative reconsideration decision within the time limit, the following provisions shall be applied: 

(1) The administrative reconsideration decision which has maintained the specific administrative action shall be coercively executed by the tax agency which has made the specific administrative action or applied with the People’s court for coercive execution. 

(2) The administrative reconsideration decision which has changed the specific administrative action shall be coercively executed by the administrative reconsideration agency or applied with the People’s court for coercive execution.

 
Chapter 10 Tax Administrative Reconsideration Reconciliation and Mediation

article 86 For the following issues under administrative reconsideration, the applicant and the respondent may, according to the principle of free will and legality, reach reconciliation before the administrative reconsideration agency makes the administrative reconsideration decision and the administrative reconsideration agency may also make the reconciliation: 

(1) Any specific administrative action made through exercising the right of discretion, including administrative punishment, assessment of tax and determination of the tax rate for taxable income; 

(2) Administrative compensation; 

(3) Administrative award; and 

(4) Any specific administrative action with other issues concerning rationality. 

article 87 The applicant who reaches reconciliation with the respondent shall submit the written reconciliation agreement to the administrative reconsideration organ. If the contents of the reconciliation agreement do not impair the public interests and the legitimate rights and interests of others, the administrative reconsideration organ shall give permission. 

article 88 Where the administrative reconsideration has been terminated as the reconciliation has been permitted by the administrative reconsideration organ, the applicant shall not apply for administrative reconsideration for the same matter with the same grounds again. 

article 89 Mediation shall comply with the following requirements: 

(1) The will of the applicant and the respondent shall be respected; 

(2) The mediation shall be based on finding out the facts of a case; 

(3) The principle of objectiveness, justness and reasonableness shall be complied with; and 

(4) The public interests and the legitimate rights and interests of others shall not be impaired. 

article 90 The administrative reconsideration agency shall make mediation according to the following procedures: 

(1) Obtaining the consents of the applicant and the respondent; 

(2) Considering the opinions of the applicant and the respondent; 

(3) Providing a mediation plan; 

(4) Reaching a mediation agreement; and 

(5) Preparing the documents of administrative reconsideration mediation. 

article 91 The documents of administrative reconsideration mediation shall state the request for administrative reconsideration, facts, grounds and results of mediation and shall be affixed with the seal of the administrative reconsideration agency. The documents of administrative reconsideration mediation shall enter into force upon signature of both parties concerned. 

If no agreement has been reached through mediation or the documents of administrative reconsideration mediation cannot enter into force, the administrative reconsideration agency shall make an administrative reconsideration decision in a timely manner. 

article 92 In case the applicant refuses to execute the documents of administrative reconsideration mediation, the documents shall be coercively executed by the respondent according to law or be applied with the People’s court for coercive execution. 


Chapter 11 Guidance and Supervision of Tax Administrative Reconsideration

article 93 Tax reconsideration agencies at all levels shall enhance their efforts on supervision over performance of the functions and duties of administrative reconsideration. The administrative reconsideration organ shall be responsible for supervision and guidance of administrative reconsideration works. 

article 94 Tax agencies at all levels shall establish a sound responsibility system for administrative reconsideration works and include administrative reconsideration works into their target-related responsibility system. 

article 95 Tax agencies at all levels shall, according to their functions and authorities, examine the administrative reconsideration works done by the tax agencies at a lower level by means of regular and spot examination and shall report the results of examination to the relevant departments in a timely manner. 

article 96 During the process of administrative reconsideration, if the administrative reconsideration agency finds that the relevant administrative actions of the respondent and other tax agencies at lower levels are illegal or follow-up works need to be done, it may prepare the opinions on administrative reconsideration. The relevant agency shall report to the administrative reconsideration agency about its correction of the relevant illegal administrative action or doing of the follow-up works within 60 days upon receipt of the said opinions. 

During the process of administrative reconsideration, if the administrative reconsideration agency finds out any problem universally existed in enforcement of laws, regulations and provisions, it may prepare the opinions on administrative reconsideration and provide advices to the relevant agencies to improve systems and administrative enforcement of law. 

article 97 Tax agencies below the provincial level shall submit the statistical table and analysis report of administrative reconsideration, response to lawsuits and compensation to the tax agencies at a higher level and shall report major administrative reconsideration decisions to the administrative reconsideration agencies at a higher level for filing in a timely manner. 

article 98 The administrative reconsideration organ shall archive the documents concerning administrative reconsideration cases according to provisions. 

The documents concerning administrative reconsideration cases shall be made in volumes according to administrative reconsideration applications, one case one volume with uniform serial number, clear catalogue and complete materials. The volumes shall be well classified and bound. 

article 99 The administrative reconsideration organs shall organize periodical professional trainings and exchanges among staff for administrative reconsideration so as to improve their expertise. 

article 100 The administrative reconsideration agency shall make a summary of the administrative reconsideration works on a regular basis. The units and individuals that have made outstanding achievements on administrative reconsideration shall be praised and awarded according to the relevant provisions. 


Chapter 12 Supplementary Provisions

article 101 The administrative reconsideration agency, the staff member of the administrative reconsideration agency and the respondent that has violated the Administrative Reconsideration Law and the Detailed Rules for the Implementation thereof as well as provisions herein in activities of tax administrative reconsideration shall be punished according to law. 

article 102 The Rules herein apply to the foreigner, stateless person and foreign organization that applies to the tax agency for administrative reconsideration within the People’s Republic of China. 

article 103 The administrative reconsideration agency may use the special seal for administrative reconsideration in its works on administrative reconsideration. The special seal for administrative reconsideration shall be of the same force as the seal of the administrative reconsideration agency. 

article 104 The calculation of the period for administrative reconsideration and the delivery of administrative reconsideration documents shall be subject to the provisions on period and delivery in the Civil Procedure Law. 

The “5 days” and “7 days” related to the period for administrative reconsideration as mentioned herein refers to working days, excluding legal holidays. 

article 105 The Rules herein shall enter into force on Apr.1, 2010 and the Rules for Tax Administrative Reconsideration (Interim) (No.8 SAT Decree) promulgated by the SAT on Feb.24, 2004 shall be repealed simultaneously.