Tax authorities release outbreak relief policies

Date: 13 Feb 2020

Tax authorities in China published a document on Tuesday covering a set of policies to ease the tax burden for individuals and enterprises during the novel coronavirus outbreak, including exemptions for individual income tax and value-added tax for certain taxpayers.

The State Taxation Administration released a guide to 12 preferential tax policies for supporting coronavirus prevention work, relating to epidemic prevention and treatment, material supply, public donations and support for companies to restart production, a statement said.

For individual income tax, temporarily received subsidies and bonuses for epidemic prevention work will be exempted. Also, the individual income tax on medical protective equipment which staff received from their companies will be zero, the STA said.

Companies which provide key supplies for controlling the epidemic will receive a full refund of tax credits of incremental value-added taxes. The VAT on income from the transportation and express delivery of epidemic control supplies will be canceled, according to the authorities.

To facilitate companies' recovery of production after the extended holiday, the document said for companies in difficulties the maximum carry-over period of their losses incurred in 2020 is extended to eight years.

The STA also confirmed tariffs for imported supplies for direct epidemic control will be exempted to expand the scale of tariff-free donations imported from overseas.

Source: China Daily

Disclaimer
The information on this page may have been provided by a contributor to ChinaGoAbroad, and ChinaGoAbroad makes no guarantees about the accuracy of any content. All content shall be used for informational purposes only. Contributors must obtain all necessary licenses and/or ownership rights from the relevant content owner(s) before submitting such content (including texts, pictures, photos and diagrams) to ChinaGoAbroad for publication. ChinaGoAbroad disclaims all liability arising from the publication of any content/information (such as texts, pictures, photos and diagrams that infringe on any copyright) received from contributors. Links may direct to third party sites out of the control of ChinaGoAbroad, and such links shall not be considered an endorsement by ChinaGoAbroad of any information contained on such third party sites. Please refer to our Disclaimer for more details.
Top