Professional farmers ' cooperatives are an important force for agricultural development and their tax-related management issues cannot be ignored. The tax authorities should strengthen the day-to-day regulation and evaluation of farmers ' professional cooperatives and establish sound long-term management mechanisms for their stable health and development。
Through interviews, field visits, the authors learned that most of the professional farmers ' cooperatives have a production business process of purchasing seedlings by their own agents and raising them for sale through cooperatives. The value-added tax (vat) policies involved in professional farmers ' cooperatives include: the sale of agricultural products produced by members of farmers ' professional cooperatives is treated as a vat exemption for agricultural producers for the sale of their own produce; the purchase of agricultural products from agricultural producers is based on the purchase price of agricultural products and the deduction rate of 9 per cent, as indicated in the purchase or sale invoice for agricultural products, in addition to obtaining a vat or customs import vat contribution. Taxes that process or produce goods at the 13 per cent rate are calculated at a 10 per cent deduction rate。
Vat tax policies for agricultural products are characterized as “pre-exempt, post-remuneration, self-financing”. Some farmers ' professional cooperatives, with no or very few advances at all, issue a large number of ordinary vat invoices for sales of agricultural products to downstream enterprises. Strengthening the normative management of cooperatives is imperative。
Through industry associations, cooperatives are guided in the development of books. Organizations such as the local federation of professional cooperatives of farmers, where the day-to-day accounting practices of cooperatives employing full-time accountants are more regulated than those of other cooperatives. It is recommended that accounting processing training be provided to cooperatives in the bailiwick through associations, that accounting processes and voucher rules be clarified and that cooperative financial behaviour be regulated. At the same time, under the provisions of the farmers ' professional cooperative accounting system, the cooperative shall establish a membership account for each member, recording the volume (value) of the member's transactions with the organization, the return of the surplus to that member and the distribution of the surplus. The most important thing for farmers ' professional cooperatives to strengthen their own construction is to make two allocations. Cooperatives are meant to be truly operational, not empty shell。
Use of tax policy to address broker billing. According to the circular of the ministry of finance of the state tax administration on policies related to simplified and value added tax rates (2017) no. 37) provides that: if a general taxpayer obtains a vat-specific invoice from a small taxpayer who pays vat at a rate of 3 per cent based on a simple tax method, the amount stated in the vat-specific invoice and the deduction rate of 9 per cent are used to calculate the amount of the entry tax. Agricultural brokers and agents are advised to set up individual business firms and issue 3 per cent-rate vat-specific invoices for sales of out-of-pocket agricultural products. Business processes leading to the sale of natural persons — broker purchase — broker sales chain with 3 per cent of exclusive invoices — cooperative purchase — cooperative sales with 9 per cent of the tax rate for vat-specific invoices address both the difficulty of uninvented invoices from cooperatives for external sales of agricultural products and the risk that cooperatives will wrongly apply tax exemptions to imported agricultural products. At the same time, cooperatives should account for their members separately from their own production, issue tax-free invoices for their own agricultural products and for non-self-produced agricultural products。
Implementation of precise enforcement to facilitate resolution of tax-related challenges. (b) comprehensively streamline agricultural tax policies, develop operational manuals, produce training materials, conduct training on internal and external agricultural policies, and avoid excessive or arbitrary enforcement resulting from inconsistent policy understanding and mastery. Identity-labelling management, land information gathering, physical ownership of land, waters as the basis for cooperative capacity to produce itself, using land rents, transportation, sales funds back into cages, and two distributions of funds that eventually flow into the financial loops created by members of society as a breakthrough to break the dilemma of verifying the authenticity of sales operations. Concerned that taxpayers reflect strong agricultural-related policy issues, such as whether the foreign purchase of seedlings is to be sold after a certain period of time and whether they are still controversial issues such as home-made agricultural products, asking for advice from higher levels, making recommendations for policy optimization, etc., and responding in a timely manner to taxpayers ' claims。
Strict invoicing management to protect against risks. Full promotion of digital invoices, enhanced identity management, introduction of digital invoices for agricultural products in the jurisdictions and reduction of the risk of tax-free invoices for non-home-made agricultural products through labelling management. The energy management system land information is updated in a timely manner and the risk of billing is monitored on the basis of an average acre sale warning. Taxpayers whose contracts have expired and who are no longer engaged in agricultural farming should be cleared of their land information in a timely manner; additional taxpayers should be accurately collected on the basis of land title certificate information. (c) the dynamic monitoring of the sale of agricultural products by taxpayers in the jurisdiction, the timely capture of data on unusual behaviour such as large sales against the season, large increases in the same year and large number of tickets issued in the short term, the provision of authentic material for the production and sale of agricultural products by suspected taxpayers in accordance with regulatory requirements, and the introduction of regulatory measures to adjust the amount of money, step-by-step responses, inspections, etc., that cannot be provided or that cannot be excluded from the risk。
Strengthen internal and external collaboration and manage the combination boxing. Strengthening internal linkages between the tax administration, tax source management, risk response, and disciplinary departments, with clear policy and day-to-day management in the tax administration; proper service and tracking by the tax administration on the basis of suspect data drawn from the tax administration; risk response by higher-risk and less compliant taxpayers to the risk sector; and oversight by the supervisory and disciplinary department of due diligence in the performance of the various lines of responsibility, leading to deep closed loop management. At the same time, external collaboration with the agricultural and rural directorates, townships and village councils has been strengthened to take advantage of their proximity to growers, to coordinate the dissemination of agricultural tax policy, to coordinate the identification of tax management barriers that exist on both sides, and to create synergies for the healthy development of the agricultural sector。
