Preferential Tax Policies and Guidelines to Support Epidemic Prevention and Control and Economic and Social Development
In the face of the situation of the epidemic prevention and control of novel coronavirus-infected pneumonia (COVID-19) as well as the resumption of work and production, the tax authorities shall thoroughly implement the guidelines of a series of important instructions of General Secretary Xi Jinping, resolutely implement the decisions and arrangements of the Party Central Committee and the State Council, actively play the functional role of tax, fully participate in the epidemic prevention and control, and support enterprises in resumption of work and production.
Since the outbreak of the epidemic, the Party Central Committee and the State Council have deployed three batches of tax policies to support epidemic prevention and control and resumption of production and work. The first batch of policies mainly focus on epidemic prevention and control, laying emphasis on both direct support for medical treatment and production and transportation of relevant guarantee materials, and on mobilizing forces of all sectors to actively finance and support epidemic prevention and control. The second batch of policies mainly focus on reducing the burden of social security premiums on enterprises, reducing or exempting the contributions paid by enterprises for endowment insurance, unemployment insurance and work-related injury insurance in phases, reducing the basic medical insurance contributions, lowering enterprises' labor costs, and enhancing their confidence in resuming work and production. The third batch of policies mainly focus on micro-and-small enterprises and individual businesses. The small-scale taxpayers of value-added tax ("VAT"), individually-owned businesses which participate in endowment, unemployment and work-related injury insurance as entities as well as lessors that reduce or exempt property rent for individually-owned businesses shall be entitled to tax incentives to strengthen their risk resistance capacity, and help them to tide over difficulties.
Go where there is epidemic, fight it till it perishes. It is currently the top priority for the tax authorities to ensure the proper implementation of preferential policies of the State to support the prevention and control of the novel coronavirus-infected pneumonia epidemic and the resumption of work and production, to enable the taxpayers to actually enjoy the relevant preferential policies, and to provide efficient, convenient and safe tax payment services for taxpayers.
