On the morning of the 30th, Xiao Jie, director of the State Administration of Taxation, said in an interview with the Chinese government network that there is no inevitable link between raising the value of VAT and the tax threshold after the business tax threshold. The State Administration of Taxation requires tax authorities at all levels to implement the policy of raising the threshold without hesitation, and must not adjust the quota at will after raising the threshold.

It should be said that the state has always attached great importance to the development of small and micro enterprises. In recent years, a series of preferential tax policies have been introduced to support the development of small and micro enterprises. These policies mainly include: halving the collection of corporate income tax on qualified small profit-making enterprises; implementing tax incentives to promote the development of small and micro enterprises; raising the thresholds for value-added tax and sales tax of individual industrial and commercial households to monthly sales or turnover of 5,000 yuan. To 20,000 yuan and each (day) sales or turnover of 300 to 500 yuan.

As far as I know, at present all provinces, autonomous regions, municipalities directly under the central government, and separately listed municipalities have basically raised the threshold to the highest monthly sales or turnover standard, which is 20,000 yuan. From this year, small and micro enterprises will be exempt from taxation within three years. Twenty-two administrative fees, including the invoice cost.

In addition, to ease the financial difficulties in the development of small and micro enterprises and encourage financial companies to increase support for small and micro enterprises, we also provide some support in tax policy. For example, the signing of a loan contract between a financial institution and a small or micro-enterprise is exempt from stamp tax; the financial company's loss provision for SMEs is allowed to be deducted before the corporate income tax; the financial and insurance income of eligible rural financial institutions is reduced. 3% business tax and so on.

Regarding the issue of whether you need to adjust the tax quota after raising the VAT and business tax thresholds, I can tell you clearly that this is not necessarily linked. We require tax authorities at all levels to fully implement the policy of raising the threshold, so that the majority of individual industrial and commercial households can effectively enjoy the country's tax incentives and must not adjust the quota at will after raising the threshold. At the same time, we also hope that the large number of individual industrial and commercial households will declare according to the laws and regulations of the country and pay tax according to law.

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