Where is the consumption tax on firecrackers and fireworks levied?

The sales of firecrackers and fireworks need to pay consumption tax.

Firecrackers need to pay consumption tax. Fireworks and firecrackers management company is in the process of sales. If it is a general taxpayer, business tax and value-added tax are levied according to sales. If it is not an ordinary taxpayer, it is a fixed tax, a fixed tax; If you are self-employed, you will be taxed.

Cigarette wholesale enterprises do not pay consumption tax when selling cigarettes; Firecrackers and fireworks pay consumption tax in production and sales, but not in retail. If the purchased taxable consumer goods are used for the continuous production of taxable consumer goods, the consumption tax payable under the following circumstances is allowed to be deducted according to regulations: (1) Cut tobacco is used for the production of cigarettes; Firecrackers and fireworks make firecrackers and fireworks; The club head, shaft and grip are used to produce golf clubs; Wooden disposable chopsticks produce wooden disposable chopsticks; Solid wood flooring produces solid wood flooring; Naphtha and fuel oil to produce refined oil; Gasoline, diesel oil and lubricating oil are used to produce gasoline, diesel oil and lubricating oil respectively; Where beer is produced by beer liquid between enterprises in the group, the above deduction is limited to taxable consumer goods imported or purchased from taxpayers with the same tax items. Consumption tax has the following characteristics:

1, the collection range is selective, that is to say, only some consumer goods and consumption behaviors are collected, not all consumer goods and consumption behaviors;

2. The collection link is unitary, that is to say, it is only collected once in a certain link of the production, circulation or consumption of consumer goods, not once in every link of the production, circulation and consumption of consumer goods;

3. The collection method is flexible, that is, different collection methods can be selected according to the different characteristics of each tax object. That is to say, a specific unit tax can be levied on consumer goods according to the quantity of consumer goods, or a proportional tax rate can be set on consumer goods or consumer behavior according to the ad valorem price of consumer goods or consumer behavior;

There is a difference between tax rate and tax amount. Different tax rates and taxes can be set for consumer goods according to different types and grades of consumer goods, as well as market supply and demand, price level, national industrial policy and consumption policy.

5. The tax burden is transitive, that is to say, no matter where the consumption tax is levied, whether it is levied within the price or outside the price, the consumption tax contained in consumer goods will eventually be passed on to consumers. Some consumption taxes are directly borne by consumers, such as the banquet tax for consumption behavior.

To sum up, consumption tax (consumption behavior tax) is the general name of various taxes based on the turnover of consumer goods. Consumption tax is a tax levied on a few consumer goods on the basis of general goods value-added tax, mainly to adjust product structure, guide consumption direction and ensure national fiscal revenue.

Legal basis:

Article 5 of the Provisional Regulations of People's Republic of China (PRC) on Consumption Tax.

Consumption tax is subject to ad valorem rate, specific quantity quota or compound taxation of ad valorem rate and specific quantity quota (hereinafter referred to as compound taxation) to calculate the tax payable. Calculation formula of tax payable:

Ad valorem taxable amount = sales * proportional tax rate

Taxable amount calculated by quantitative quota method = sales amount * fixed tax rate

Taxable amount calculated by compound tax method = sales * proportional tax rate+sales * fixed tax rate.

Taxable consumer goods sold by taxpayers are sold in RMB. Taxpayers who settle their sales in currencies other than RMB shall convert them into RMB for settlement.