The Ministry of Finance, the General Administration of Customs and the State Administration of Taxation have jointly issued an announcement stating that from April 1st 2016, there would be no import tariff or value-added taxes levied on materials from foreign donors which are directly used for Charity. At the same time, the Interim Measures for the Exemption of Import Taxes on Charitable Donations was released, containing specific regulations on foreign donors and domestic recipients.
According to the Measures, foreign donors are natural persons, legal persons, and other organizations located outside of China. The social organizations and recipients listed include the Red Cross Society of China, the All-China Women’s Federation, the China Disabled Persons Federation, the China Charity Federation, the China Primary Healthcare Foundation, the China Soong Ching Ling Foundation, and the Cancer Foundation of China. Other registered organizations and foundations rated as level 5A are also on the list. The Measures also provided a clear definition of materials used for charitable donations. See the content of the Measures here.