What tax incentives are available to support epidemic prevention and control and economic and social development?

Since the outbreak of the new coronavirus pneumonia, in accordance with the decisions and arrangements of the Party Central Committee and the State Council, finance and taxation departments have focused on key links in the fight against the epidemic and key areas affected by the epidemic, and have successively introduced a series of preferential tax and fee policies to support epidemic prevention. control, promote the resumption of work and production, and serve the overall economic and social development. The first batch of policies mainly focuses on epidemic prevention and control, the second batch of policies focuses on reducing the burden of social insurance premiums on enterprises and enhancing their confidence in resuming work and production, the third batch focuses on small and micro enterprises and individual industrial and commercial households to help them tide over difficulties, and the fourth batch of policies focuses on The batch focused on stabilizing foreign trade and foreign investment and reducing the negative impact of the epidemic. Let’s sort it out together.

1. Support 2 items of protection and treatment.

1. Those who obtain temporary work subsidies and bonuses for epidemic prevention and control specified by the government are exempt from personal income tax.

2. Medical protective equipment issued by an individual to prevent new coronavirus infection and pneumonia is exempt from personal income tax.

This is not only a heart-warming policy for front-line workers fighting the epidemic, but also a tribute to these heroes.

2. Support 5 items of material supply.

3. For the production of key supplies for epidemic prevention and control, enterprises will fully refund the incremental value-added tax credits;

4. Taxpayers provide revenue from the transportation of key supplies for epidemic prevention and control. Exemption from value-added tax;

5. Taxpayers’ income from providing public transport services, daily services and express collection and delivery services for residents’ necessary daily supplies is exempt from value-added tax;

6 . A one-time pre-tax deduction for corporate income tax is allowed for enterprises that produce key epidemic prevention and control materials to expand production capacity and purchase equipment;

7. Imports of materials directly used for epidemic prevention and control organized by the health authorities are exempt from tariffs.

Support 5 items of material supply, make every effort to ensure the supply of materials and services, and support the introduction of preferential tax policies for material supply to add strength to epidemic prevention and control.

3. Encourage 4 charity donations.

8. Cash and items donated to respond to the epidemic through state agencies such as public welfare social organizations or people's governments at or above the county level and their departments are allowed to be fully deducted before corporate income tax or personal income tax.

9. Direct donations of epidemic response materials to hospitals responsible for epidemic prevention and control are allowed to be fully deducted before corporate income tax or personal income tax.

10. Goods donated free of charge to respond to the epidemic are exempt from value-added tax, consumption tax, urban maintenance and construction tax, education surcharge, and local education surcharge.

11. Expand the scope of tax-free import of donations.

Viruses are ruthless, but there is love in the world. The preferential tax policy for charity donations allows this love to spread further.

I would like to focus on introducing you to the fourth category, which supports the resumption of work and production.

Starting from January 1, 2020, for enterprises in difficult industries that have been greatly affected by the epidemic, the maximum carry-forward period of corporate income tax losses will be extended to 8 years, and VAT will be reduced or reduced in stages for small-scale taxpayers. , exempted small-scale taxpayers in Hubei Province from the value-added tax from March to May, and clarified that the collection rate of small-scale taxpayers outside Hubei will be reduced from 3 to 1, and the company's pension, unemployment, and work-related injury insurance unit payments will be reduced in stages. Exemption means that starting from February 2020, all provinces can exempt the unit contributions of pension, unemployment, and work-related injury insurance and social security for small, medium and micro enterprises. The period of exemption shall not exceed 5 months. Hubei Province can expand the scope of exemption. Expanded to all types of insured enterprises. The reduction means that in other provinces across the country except Hubei, the three social security unit contributions of large enterprises and other insured units can be levied at half, and the reduction period shall not exceed 3 months. Delay means that enterprises that have experienced serious difficulties in production and operation due to the epidemic can apply for deferment. In principle, the deferment period shall not exceed 6 months, and late payment fees will be waived during the deferment period. Phased reductions and exemptions in pension, unemployment, and work-related injury insurance for self-employed employees of individual industrial and commercial households who are insured through units, and phased reductions in unit contributions to employee basic medical insurance. According to the "Guiding Opinions on Phased Reductions in Employees' Basic Medical Insurance Premiums", starting from 2020 Starting from February 2020, each province can, based on specific circumstances, halve the payment of employee medical insurance unit contributions, and the reduction period shall not exceed 5 months.

Encourage localities to support lessors to reduce or reduce property rents for individual industrial and commercial households by reducing or exempting urban land use taxes. In terms of stabilizing foreign trade and foreign investment, we will increase the export tax rebate rate for export products except for "two highs and one capital", expand the scope of the industrial catalog that encourages foreign investment, enable foreign investment in more fields to enjoy tax and other related preferential policies, and ensure that domestic and foreign-funded enterprises Equally enjoy the recently introduced tax reduction and fee reduction policies.

We will actively play the role of the tax department and fully support the fight against the epidemic and economic and social development. We will work together to prevent and control the epidemic.