Take a look at some of our previous posts: China‘s annual GDP report 2018
Main Targets
Tax reductions
The government will implement a larger-scale of tax reduction – both inclusive tax cuts and structural tax cuts – the focus is to lower the tax burden of manufacturing and small and micro enterprises.
Small and micro enterprises inclusive tax reduction policy
(small and micro enterprises: employees number are lower than 300, total assets or annual income is less than 50,000,000 RMB)
1. Small-scale taxpayers whose monthly sales are less than 100,000 RMB are exempt from VAT.
2. For small-profit enterprise whose annual taxable income is lower than 1 million RMB, the amount of taxable income shall be reduced by 25%, and the enterprise income tax shall be paid at the rate of 20%; For the portion of the annual taxable income from 1 million RMB to 3 million RMB, 50% of the taxable income shall be included in the taxable income, and the enterprise income tax shall be paid at the rate of 20%.
3. According to the actual conditions of the region and the needs of macroeconomic regulation and control, resource tax, urban maintenance and construction tax, property tax, and urban land tax, stamp duty (excluding stamp duty on securities transactions), farmland occupation tax and education surcharge, local education add-on can be reduced within 50% of the tax scale for small-scale taxpayers.
Planned Welfare
- The national highway charges will be basically canceled within two years.
- The mobile network traffic fee will be reduced by more than 20%.
- Commercial electricity fee will be reduced by 10%.
Need advice on finding the best the strategy for your company in China? Get in touch with our team for a consultation and follow us on social media to receive the latest news
Our experienced team has the necessary expertise and the know-how to support you with your business – have a look at the services we offer.
Also, don’t forget to follow us on social media to receive all the latest updates!
See how much salary you receive after tax and check your company value without leaving WeChat!
Also, our Mini Program can estimate the salary in your industry, for your experience level and position. A huge help for salary negotiations!