Group 1 - The core concept of digital electronic invoices (referred to as "digital invoices") is their comprehensive adoption, which enhances efficiency and accuracy in invoice management through features like instant information transmission and permanent storage [2][3]. - Digital invoices have the same legal validity as paper invoices and are characterized by features such as "dematerialization," "coding system," and "quota system," simplifying the invoice application process [2]. - The application process for digital invoices can be completed through the electronic tax bureau, where users can log in and navigate to the relevant modules for invoice requests [2]. Group 2 - The initial invoicing quota for digital invoices is automatically determined by the system based on factors like the taxpayer's credit rating and industry type, eliminating the need for manual quota requests [3]. - Taxpayers can check the status of their applications through the system, which will automatically approve applications that meet certain criteria, allowing immediate use of digital invoices [3]. - There are various methods for adjusting the invoicing quota, including monthly automatic adjustments and temporary adjustments based on the taxpayer's credit status and invoicing activity [3].

Core Viewpoint - The article discusses the classification and taxation of extraneous fees in the context of value-added tax (VAT) in China, detailing which fees should be included in sales revenue for tax purposes and which can be excluded [2][3]. Group 1: Definition and Classification of Extraneous Fees - Extraneous fees include various charges such as handling fees, penalties, and packaging fees that are collected from buyers, as defined by the "Interim Regulations on Value-Added Tax" [2]. - Certain fees are explicitly excluded from being classified as extraneous fees, including consumption tax collected on behalf of the government and certain transportation fees under specific conditions [2]. Group 2: Calculation and Payment of VAT on Extraneous Fees - The sales amount for VAT purposes includes all price and extraneous fees collected by the taxpayer, excluding the output tax [2]. - Extraneous fees and overdue packaging deposits are considered taxable income and should be converted to non-taxable income for VAT calculation [2]. Group 3: Invoicing for Extraneous Fees - The tax category for extraneous fees should align with the main price, using the same coding [2]. - Invoices for extraneous fees can be issued either combined with the sale of goods or services or separately [2]. Group 4: Examples of Extraneous Fees - An example is provided where a landlord charges a penalty for early lease termination, which qualifies as an extraneous fee subject to VAT [3]. - Another example illustrates that a non-refundable deposit does not constitute an extraneous fee as it does not accompany a taxable sale [3].