A few days ago, State Taxation Administration of The People's Republic of China issued the "Announcement on Several Issues Concerning the Collection and Management of the Pilot Project of Business Reform", which stipulated issues such as prepaid cards and personal rental of real estate in the pilot project of business reform, and optimized the relevant tax collection and management.

The "Announcement" stipulates the issues related to the value-added tax of single-use commercial prepaid cards and prepaid cards (that is, multi-purpose cards) of payment institutions.

Prepaid card is a card that pays first and then consumes.

It includes common single-purpose prepaid cards such as catering cards, beauty cards and fitness cards that can only be used within card-issuing enterprises, as well as multi-purpose prepaid cards such as Shang Tong cards and Forkaka cards that can be used across regions, industries and legal persons.