China’s capital, Beijing has started using blockchain invoicing to reduce the taxpayer’s operating costs and save social resources. It said taxpayers have the right to reject electronic invoices with inconsistent results and can call the 12366 (tax service hotline) to report.
04 March, 2020 | AtoZ Markets – As China prepares to become a world leader in blockchain, the country’s capital Beijing has started to set up a Blockchain invoicing system that powers ETH and bitcoin. The Beijing tax office announced that blockchain invoicing will be implemented in the city, effective from March 2, 2020.
Transparency And Traceability Through Blockchain
Beijing intends to bring unique transparency, traceability and immutability to tax environment with blockchain invoicing. Moreover, the Beijing Tax Office says:
“To reduce the operating costs of taxpayers, save social resources, increase the convenience of consumers for saving invoices and build a fair tax environment. We have decided to pilot the application of blockchain electronic general invoice “.
The invoicing system uses 12 digits in the invoice code and eight digits in total in the invoice number. However, the bureau encouraged consumers to verify the authenticity of the invoices by cross-checking the information with that on the Beijing tax office website. Those who notice discrepancies in their invoices can reject them and file a report. The Beijing tax bureau also said:
“The information recorded in the common electronic invoices must be consistent with the results obtained on the website […] Consumers have the right to reject electronic invoices whose results are inconsistent, and can call the helpline 12366 (Beijing tax office) to report. “
However, the Beijing tax office will gradually promote blockchain invoices services across the city. Currently, the general parking invoices and park tickets of certain taxpayers have been selected for promotion. Moreover, taxpayers from other sectors will be included in due course, says the regulator.
Beijing is Not the First City for Blockchain Invoicing
Last year, more than 10 million blockchain invoices had issued in Shenzhen. More than 7,600 companies in Shenzhen have used the blockchain system. The system has processed a total value of more than seven billion-yuan (nearly $ 995 million) invoices. The Shenzhen chain billing system(Shenzhen Speed) was developed by Tencent, the internet giant behind the social media platform WeChat.
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