|
Q:
|
The preferential policy for small-scale taxpayers at the reduced tax rate of 1% (Implementation time: April 30, 2020).
|
|
A:
|
Value-added tax (VAT) will be exempted for the small-scale VAT taxpayers that applied the tax rate of 3% on taxable sales revenue in Hubei Province from March 1 to December 31, 2020. The prepaid VAT items with a 3% pre-collected rate are suspended. And small-scale VAT taxpayers that levied by 3% on taxable sales revenue can apply a reduced tax rate of 1% in other provinces, autonomous regions and municipalities, except Hubei Province. The prepaid VAT items with a 3% pre-collected rate can apply a reduced pre-collected tax rate of 1%.
|
Q:
|
The preferential policy for delaying the Enterprise Income Tax payment of small and low-profit enterprises in 2020 (Implementation time: May 19, 2020).
|
A:
|
From May 1, 2020 to December 31, 2020, small and low-profit enterprises may suspend payment of Enterprise Income Tax for current period after complete tax filing for remaining tax declaration period in 2020, and pay the income tax in the first tax declare period in 2021.
|
Q:
|
The deadline for general taxpayers register as small-scale taxpayers (Implementation time: April 23, 2020).
|
A:
|
If general taxpayers meet the following criteria, they may choose to register as small-scale taxpayers before December 31, 2020: the cumulative sales income is no more than 5 million for 12 consecutive months (declare tax monthly) before the registration date or 4 consecutive quarters (declare tax quarterly).
|
Q:
|
The preferential policy for reduction and exemption of social insurance on a phased base for small, medium-sized and micro-enterprises (Implementation time: June 22, 2020).
|
A:
|
The exemption policy of 3 types of of social insurance for small, medium-sized and micro-enterprises is extended until the end of December 2020.
|
Q:
|
The policy for one-time deduction before tax for fixed assets with a unit value less than 5 million (Implementation time: May 17, 2018).
|
A:
|
The equipment and appliances are purchased by enterprises between January 1, 2018 and December 31, 2020, with a unit value not exceed 5 million, are allowed to be deducted as one-time costs before tax during current period, the depreciation is inapplicable to the annual basis.
|
Q:
|
The preferential policy of additional deduction for research and development expenses (Implementation time: September 20, 2018).
|
|
A:
|
Regarding the research and development expenses occurred in the enterprise's research and development activities, if the expense has not formed intangible assets and recorded as profit or loss in current period, the actual full amount of expense and the additional 75% of actual expenses amount before tax are allowed to be deducted from profit before tax between January 1, 2018 and December 31, 2020. If the expense has formed intangible assets, it shall be amortized at 175% of the cost of intangible assets before tax during the above period.
|
FAQ
