Golden Tax Phase IV: Key Terms for Tax and Asset Planning (Part 1)

Tax compliance risk management has become a key concern for high-net-worth individuals. Sound tax planning can help lower your tax burden, and it also guards against tax risk and keeps your wealth secure.

What is Golden Tax Phase IV?

Before looking at Golden Tax Phase IV, you need to understand one concept: the Golden Tax system.

The Golden Tax system is the invoicing subsystem of China’s national Golden Tax Project that issues value-added tax (VAT) invoices for the national tax authorities. It is also the enterprise-side software we normally use to issue special VAT invoices and ordinary VAT invoices, and it connects to the tax bureau side and to the tax issuance subsystem.

The Golden Tax system has two parts:

• the enterprise-side invoicing system
• the government-side invoicing system

Golden Tax Phase IV is the latest upgrade of the tax administration information system project launched by China’s State Taxation Administration. In other words, it is the fourth generation of the Golden Tax system.

(To be continued)