(I) Tax policies

1. 除法律、行政法规另有规定外，下列货物从境外进入综合保税区，海关免征进口关税和进口环节海关代征税：

1. Unless otherwise specified in relevant laws and regulations, the following goods shall be exempted from import duties and import link taxes by the customs when entering the Kunming free trade zone (KMFTZ) from abroad:

A、区内生产性的基础设施建设项目所需的机器、设备和建设生产厂房、仓储设施所需的基建物资；

A. Machines and equipment required for the construction of productive infrastructure, and materials required for the construction of production and warehousing facilities in KMFTZ;

B、区内企业生产所需的机器、设备、模具及其维修用零配件；

B. Machines, equipment, molds and parts (for repair & maintenance) required by enterprises in KMFTZ for production; and

C、区内企业和行政管理机构自用合理数量的办公用品。

C. Office supplies (reasonable amount) required by enterprises and administrations in KMFTZ;

2. 从综合保税区运往境外的货物免征出口关税，但法律、行政法规另有规定的除外。

2. Unless otherwise specified in relevant laws and regulations, goods leaving KMFTZ for foreign destinations shall be exempted from export duties.

3. 综合保税区与区外之间进出的货物，按货物进出口的有关规定，办理报关手续，并按货物实际状态征税。

3. Goods entering KMFTZ from or leaving KMFTZ for other places shall clear customs in line with relevant import/export regulations and be levied according to the actual status of the goods.

4. 综合保税区内生产企业生产出口货物耗用的水、电、气（汽），准予按现行政策规定水、电、气（汽）适用的出口退税率退还增值税。

4. Value-added tax levied on water, electricity, gas (steam) consumed by enterprises in KMFTZ to produce exports shall be refunded at applicable export rebate rates specified in existing relevant policies.

5. 境内货物进入综合保税区视同出口，按现行政策规定的出口货物适用出口退税率实行退税。

5. Goods entering KMFTZ from places within China shall be deemed as exported goods, and taxes on which shall be refunded at applicable export rebate rates specified in existing relevant policies.

6. 对区内企业加工、生产的货物，凡属于货物直接出口和销售给区内企业的，免征增值税、消费税。

6. Goods processed or produced by enterprises in KMFTZ shall be exempted from value-added tax and consumption tax when being exported directly or sold to other enterprises in KMFTZ.