Announcement of the State Taxation Administration on the Value-Added Tax Issue of Tap Water Fees Collected in Property Management Services

This document stipulates that taxpayers providing property management services may calculate the value-added tax on tap water fees collected from service recipients based on the balance after deducting the external payment for tap water, applying the simplified tax calculation method at a 3% levy rate. The announcement takes effect from the date of issuance and applies to unresolved matters occurring after May 1, 2016.