Announcement No. 40 of 2020 of the State Administration of Taxation of the Ministry of Finance
The VAT policies such as the free transfer of shares are announced as follows:
1u3001 When a taxpayer transfers a stock free of charge, the transferor takes the purchase price of the stock as the selling price, and calculates and pays the value-added tax according to the financial commodity transfer; when the transferor transfers the above-mentioned stock again, the selling price of the original transferor is taken as the purchase price, and the value-added tax is calculated and paid according to the financial commodity transfer.
2u3001 Since August 20, 2019, the interest income obtained by financial institutions from granting small loans with a term of more than one year (excluding one year) to less than five years (excluding five years) to small enterprises, micro enterprises and individual businesses may choose the market quotation rate for one-year loans or the market quotation rate for loans with a term of more than five years published by the national interbank lending center authorized by the peoples Bank of China The VAT exemption policy stipulated in the notice of the Ministry of Finance and the State Administration of Taxation on the exemption of value added tax on loan interest income of small and micro enterprises of financial institutions (CS  No. 91).
3u3001 The land owners behavior of collecting land according to law and paying compensation fees for land and its related tangible movable and real estate to land users belongs to the situation that land users return the land use right to the land owners as stipulated in item 37 of Article 1 of the transitional policy for replacing business tax with value added tax (CS  No. 36).
4u3001 This announcement shall be implemented as of the date of promulgation. Matters that have not been dealt with before shall be implemented in accordance with the provisions of this announcement.
It is hereby announced.
Ministry of finance, State Administration of Taxation