Seven New Industries Income Tax Cut By Half

"We have passed the drafted documents." In November 18th, an official of the Ministry of industry, who did not want to be named, revealed to reporters. This is a proposal to increase policy support for strategic emerging industries. Enterprises of seven strategic emerging industries are expected to enjoy their income after the expiration of the policy of "three exemption and three reduction". tax rate On the basis of 15%, half of the preferential treatment will be reduced, and this preferential policy will also become the Central Committee this year. Economics An important topic of the working conference.

According to the above officials, the Ministry of industry and Commerce convened interviews with experts and enterprises a few months ago, and discussed and formulated the draft for promoting the development of new industries. "For enterprises of seven strategic emerging industries, it is suggested that tax incentives be increased. After the" three exemption and three halves "preferential treatment is expired, consideration can be given to reduce the income tax rate by half on the basis of 15%. The official told reporters.

The so-called "three exemption and three reduction" means that eligible enterprises can be exempted from the first to third years of operating income. Corporate income tax Fourth to sixth years.

In accordance with the provisions of the new enterprise income tax law, enterprises that meet the requirements include enterprises engaged in energy conservation, environmental protection, comprehensive utilization of methane, desalination and other industries besides the state key public facilities. With the final determination of the seven strategic emerging industries, enterprises such as energy conservation, environmental protection, new generation of information technology, biology, high-end equipment manufacturing, new energy, new materials and new energy vehicles have begun to enjoy "three exemption and three reduction".

"Tax cuts can lighten burdens, expand enterprise production and encourage enterprises to invest. The biggest advantage is to enhance their ability to deal with crises." Dou Weidong, chief financial officer of Environmental Engineering Company, said: "for the enterprise, this is equivalent to a large amount of money subsidized by the government."

Jin Tao, an associate professor of Economics Research Institute of Xiamen University who has been engaged in related research for a long time, thinks that only one tax preference can increase the annual profit of enterprises by 20%.