Article 1
The entities and individuals that develop taxable resources within the territory of the People's Republic of China and other sea areas under the jurisdiction of the People's Republic of China are the resource taxpayers, and shall pay resource tax in accordance with the provisions of this Law.
The specific scope of taxable resources shall be determined by the Table of Taxable Items and Tax Rates of Resource Tax (hereinafter referred to as the "Table of Taxable Items and Tax Rates") attached to this Law.
Article 2
The taxable items and tax rates of resource tax shall be governed by the Table of Taxable Items and Tax Rates.
Where a range of tax rates is prescribed in the Table of Taxable Items and Tax Rates, the specific applicable resources tax rates within the prescribed range shall be proposed by the people's governments of provinces, autonomous regions or municipalities directly under the Central Government based on overall consideration to the grade and exploitation conditions of the taxable resources, impacts on the ecology and environment, and other circumstances, and be decided by the standing committees of the people's congresses at the same level, and shall thereafter be filed with the Standing Committee of the National People's Congress and the State Council for the record. Where the taxable items specified in the Table of Taxable Items and Tax Rates are raw ores or ore dressing products, the specific applicable tax rates shall be individually determined.
Article 3
Resource tax shall be calculated and collected as prescribed in the Table of Taxable Items and Tax Rates on an ad valorem basis or on a volume basis.
Where resource taxes may be collected either on an ad valorem basis or on a volume basis, as prescribed in the Table of Taxable Items and Tax Rates, the specific method for calculation and collection shall be proposed by the people's governments of provinces, autonomous regions or municipalities directly under the Central Government and be decided by the standing committees of the people's congresses at the same level, and shall thereafter be filed with the Standing Committee of the National People's Congress and the State Council for the record.
The resource tax payable to be collected on an ad valorem basis shall be calculated by multiplying the amount of taxable resource products (hereinafter referred to as "taxable products") sold by the specific applicable tax rate, and the resource tax payable to be collected on a volume basis shall be calculated by multiplying the sales volume of taxable products by the specific applicable tax rate.
The taxable products that are mineral products shall include raw ores and ore dressing products.
Article 4
Where a taxpayer exploits or produces taxable products under different taxable items, the sales amounts or sales volumes of taxable products under different taxable items shall be calculated separately. If the taxpayer fails to do so or fails to accurately provide the amounts or volumes of taxable products sold under different taxable items, the higher tax rate shall be applied.
Article 5
Where a taxpayer exploits or produces taxable products for the taxpayer's own use, the taxpayer shall pay resource tax in accordance with the provisions of this Law. However, if the taxpayer exploits or produces taxable products for the taxpayer's own continuous production of taxable products, the taxpayer is not required to pay resource tax.
Article 6
No resource tax shall be imposed under either of the following circumstances:
(1)Crude oil and natural gas used for heating in exploiting crude oil or in transporting crude oil within the scope of oil fields; or
(2)Coal gas/coalbed methane (CBM) extracted by a coal mining enterprise for production safety.
Resource tax shall be reduced under any of the following circumstances:
(1)A 20% reduction shall be given to resource tax on crude oil or natural gas exploited from low-abundance oil or gas fields;
(2)A 30% reduction shall be given to resource tax on high-sulfur natural gas, crude oil produced by tertiary oil recovery, crude oil or natural gas exploited from deepwater oil or gas fields;
(3)A 40% reduction shall be given to resource tax on heavy oil or high pour-point oil; or
(4)A 30% reduction shall be given to resource tax on mineral products exploited from mines at the stage of depletion.