Fuel tax reform proposals for comment

Date：2017-09-14

       In order to establish the standard of taxes and fees system and improve the price mechanism, promote energy conservation and emissions reduction, environmental protection and structure adjustment, fair burden, raising transportation infrastructure maintenance and construction funds in accordance with the law, according to the "highway law of the People's Republic of China" and other relevant laws and regulations, the national development and reform commission, ministry of finance, the ministry of transport and the state administration of taxation for finished product oil tax reform.

       First, the general train of thought for the reform of oil price and fee

       To regulate the government fees and cancel highway maintenance fees and other charges; Without raising the current price of refined petroleum products, we will raise the tax on the consumption tax of refined products and raise funds for the maintenance and construction of transportation infrastructure in accordance with the law. We will improve the price formation mechanism of refined oil products and rationalize the price of refined petroleum products.

       2. Reform of fuel taxes and fees

       (1) to cancel highway maintenance fees and other charges. To cancel the six charges including highway maintenance fee, waterway maintenance fee, highway transport management fee, highway passenger and freight surcharge, waterway transport management fee and water transportation surcharge. Gradual orderly cancellation of the approved government loan repayment of secondary roads.

       (2) tax arrangements for consumption tax of refined products. The tax on gasoline consumption is raised from 0.2 yuan per liter to 1 yuan per liter, while diesel increases from 0.1 yuan per liter to 0.8 yuan per liter, and other refined oil consumption per unit tax increases accordingly. The price of gasoline, diesel and other refined oil consumption is collected, and the price level of the current steam and diesel fuel is not increased after the increase of the unit tax.

       (3) the use of consumption tax revenue for refined products. The formation of refined oil consumption tax adjustment tax revenues are special fund is special, it is mainly used for alternative highway spending six charges, such as subsidies across cancel the approval of the government loan secondary toll roads, and to grain farmers for producing grain, part of the disadvantaged groups, and give the necessary public welfare industry to support.

       Iii. The formation mechanism of the price formation of refined petroleum products

       Domestic onshore oil prices continue to execute directly connected with the international market, the domestic refined oil prices continue to adhere to the line with the international market have to indirect control, establish and perfect reflect both the international market oil price changes and the enterprise production cost, and the domestic market supply and demand; It reflects the scarcity of oil resources and the mechanism of price formation that is affordable in all sectors of society, promoting resource conservation and environmental protection.

        Domestic steam and diesel producer prices are based on the international market oil price, and the average processing cost, tax and reasonable profit are determined. The current retail price of steam and diesel can be changed to the maximum retail price. The highest retail price is based on the factory price, the price of the distribution is determined, and the percentage of the original circulation price difference is reduced to about 4%. The state will continue to properly regulate the price of refined oil products.

       After domestic fuel prices by perfecting the mechanism of running, the refined oil price changes caused by farmers grain ZengZhi, continued into the general direct subsidies policy as a whole, comprehensive direct subsidies to grain farmers grow only; The taxi will continue to receive temporary subsidies from the government until the price is adjusted. Fishery (including ocean-going fisheries), forestry, urban public transport, rural road passenger transport (including inter-island and rural waterway passenger transport), the subsidy standard increases and decreases with the rise and fall of refined oil prices. We will continue to ensure basic living support for people living in urban and rural areas.

       Iv. Related problems and solutions

       (1) properly resettlement of traffic fee collection personnel. Under the unified leadership of local people's governments at all levels, multi-channels should be properly accommodated, and relevant departments of the central government should give guidance, coordination and support to ensure the steady and orderly progress of reform.

        (2) make sure that the charging policy is abolished. After cancelling highway maintenance fees and other charges, it is necessary to strengthen supervision and inspection to ensure that the cancellation fee policies are implemented and strictly prohibit the newly added charge items and fees. In violation of the provisions, serious investigation shall be made and the responsibility of those responsible shall be investigated.

       (3) strengthen supervision of the product market. We will strengthen monitoring and supervision of the oil market, crack down on illegal sales of tax evasion, oil smuggling, fake and shoddy oil products and contract fraud, and ensure the stability of the oil market.

       V. implementation time

       The plan for the reform of the oil price of oil price has been implemented since January 1, 2009.