“Provisional Regulations of the People's Republic of China on Value-Added Tax” of State Administration, Taxation Order No. 22:-
Article 21: Taxpayers who sale goods or taxable services shall issue a valid VAT invoice to the purchaser and the said VAT invoices should, separately indicated the sales and output of VAT.
Should any one of the following circumstances arise, it shall not issue VAT invoices:-
- (A) a sale to an individual consumers for goods or taxable services;
- (B) selling goods or taxable services applicable under exemption provisions;
- (C) small-scale tax-payers who are selling goods or taxable services.