Do I have to pay value-added tax and enterprise income tax on the income of isolated hotels?

The income obtained by isolating the hotel does not need to pay VAT, but only needs to pay enterprise income tax.

Non-operating income specifically includes inventory surplus of fixed assets, net income from disposal of fixed assets, fine income, asset appreciation, accounts payable that cannot be paid by debt restructuring income, and surcharge for returning education fees. Non-operating expenses specifically include inventory loss of fixed assets, net loss from disposal of fixed assets, fine expenses, donation expenses, extraordinary losses, asset appraisal impairment, debt restructuring losses, etc.

The income from selling materials and packaging materials, transferring intangible assets, renting fixed assets and packaging materials shall be included in other business income. Sales of materials and packaging in other business income shall be subject to VAT. Enterprise income tax is the income tax levied on the production and operation income and other income of Chinese enterprises and other organizations with income.

According to the Provisional Regulations of People's Republic of China (PRC) on Value-added Tax:

Article 1 Units and individuals selling goods or processing, repair and replacement services (hereinafter referred to as services), services, intangible assets, real estate and imported goods within the territory of People's Republic of China (PRC) are VAT taxpayers and shall pay VAT in accordance with these Regulations.

Article 2 VAT rate: (3) Unless otherwise stipulated in Items 1, 2 and 5 of this article, the tax rate for taxpayers selling labor services and intangible assets is 6%.

Reference to the above content: Baidu Encyclopedia-VAT