Replacing 'government tight days' with' good days for enterprises' by reducing taxes and fees, boosting confidence and vitality for enterprises
On May 24th, Li Keqiang, member of the Standing Committee of the Political Bureau of the Communist Party of China Central Committee and Premier of the State Council, presided over a symposium on tax reduction and fee reduction in some local areas in Jinan, Shandong, deploying further implementation of various policies on tax reduction and fee reduction. The voice conveyed by the symposium has received enthusiastic response from all sectors of society, especially manufacturing enterprises, who are full of expectations for a series of policy dividends and have more confidence in the development of enterprises.
Since the beginning of this year, China has made unprecedented efforts to reduce taxes and fees, especially with the official implementation of the new value-added tax rate reduction policy on April 1st, which has made many enterprises feel the "red envelope" effect of significantly reducing costs.
Qi Xiaochen, the head of the Tax Management Department of Great Wall Motors Co., Ltd., excitedly said, "I never expected that there would be value-added tax credit refund and R&D innovation preferential policies in the future. It's really a pleasant surprise. According to estimates, the 2019 value-added tax reduction policy will bring a tax reduction of 450 million yuan to Great Wall Motors. At the same time, after the reduction of social security fees, enterprises will also reduce their monthly expenses by about 11 million yuan. This provides strong support for us to enhance our research and development capabilities and strengthen our international competitiveness during the critical development period, and we are full of confidence, "said Qi Xiaochen.
I have noticed that the country will further relax the conditions, optimize the process, and study and improve the support policies for enterprise research and development innovation in the next step of retaining and refunding value-added tax for the manufacturing industry. This will give us more confidence, confidence, and willingness in the development of innovative drugs, "said Wu Xiangjun, General Manager of Yiling Pharmaceutical. After the implementation of the new value-added tax rate, Yiling Pharmaceutical is expected to pay 70 million yuan less value-added tax this year. At the same time, they can also enjoy various tax policy benefits such as income tax incentives for high-tech enterprises and an increase in the deduction of research and development expenses from 50% to 75%.
Hebei Yongyang Special Steel Group Co., Ltd. is a special steel enterprise mainly engaged in the production of alloy structural steel, spring steel, and high-quality carbon structural steel. It is also the largest, most diverse, and most complete production base for light rail, heavy rail, and mining special profiles in China. Since the implementation of the tax reduction and fee reduction policy, the company has directly reduced its tax burden by more than 4 million yuan by only lowering the value-added tax rate. The chairman of the company, Du Qingshen, stated that after the reduction of the value-added tax rate, the prices of the company's products have also been adjusted, making them more competitive in the market and increasing their confidence and motivation for development. It can be said that tax reduction and fee reduction are truly exchanging "tight government life" for "good business life".
Hebei Aorun Shunda Window Industry Co., Ltd. is also full of confidence in its future development. In 2013, the company was recognized by the Ministry of Science and Technology as the "National Building Energy Efficiency Technology International Innovation Park". From 2016 to 2018, the company has invested a total of 156 million yuan in research and development, and its innovative products such as passive doors, passive windows, haze removal windows, and smart windows have filled more than 20 technological gaps at home and abroad. A considerable portion of the funds were obtained through enjoying tax incentives, "said Wang Fei, the deputy director of finance of the company." With research and development going up, product quality is better, consumers are more interested, and the entire industry comes to life.
As the head of a small and micro enterprise and the inheritor of intangible cultural heritage in the production process of Lingshou bronze ware, Wang Yingjie is busy with a "big task" - to commemorate the country's large-scale "tax reduction and fee reduction" by casting a "gratitude cauldron". He said, "According to the policy of tax reduction and fee reduction, my small factory can save more than 50000 yuan in taxes per year. I plan to use the saved money to buy some carving machines, improve production efficiency, and increase the technological content of products
13 years ago, Wang Yingjie's father, Wang Sanni, spent over a year and self funded more than 60000 yuan to forge the famous "Farewell to Land Tax Cauldron" to commemorate the cancellation of agricultural taxes by the country, which was collected by the China Agricultural Museum. Wang Yingjie said that he wants to forge a "gratitude cauldron" and present it as a gift for the 70th anniversary of the founding of New China as a new farmer entrepreneur. Inscriptions should not only record the benefits brought by the country's tax reduction and fee reduction to enterprises, but also record the voices of farmers in this new era.
The unprecedented tax reduction and fee reduction policies have also sparked the thinking of many experts and scholars.
According to Gu Jianqin, a professor at Hebei University of Economics and Trade, the current and long-term accounts mentioned at the symposium are to calculate the enterprise and government accounts. Good taxation, fairness, justice and reasonableness, is the "angel" to ensure social stability and harmony ". The policy of tax reduction and fee reduction is to collect less tax revenue for a period of time in exchange for a long-term abundant tax source; to collect less government tax revenue for a certain period of time in exchange for more revenue for the current interests of enterprises and future economic development. This is a harmonious account of economy and taxation, current and long-term, and a joint account of enterprises and the government. Gu Jianqin believes that the further implementation of the tax reduction and fee reduction policy will help enterprises overcome difficulties. With the development of enterprises, there will be a solid foundation for the employment environment, economic benefits, social development, and resource allocation. At the same time, it can also help the realization of China's industrial layout adjustment and further enhance China's economic strength and government image.
Li Keqiao, a professor at Hebei University, said that from this meeting, we can see that the effect of this round of tax reduction and fee reduction has begun to show, and at the same time, we should continue to promote it, which shows that our country has an accurate positioning for economic development. it reflects the country's great determination and confidence in accomplishing the scheduled economic goals. To calculate the "long-term account", on the one hand, it requires governments at all levels to live a tight life, and on the other hand, it is also the "layout" for the sustainability of my country's finances ".
"Tax and fee reductions are an important tool for China's economy to move from 'high-speed development' to 'high-quality development'. Only when the burden is reduced can enterprises save more money for research and development of new technologies and innovation quality, thus realizing the transformation and upgrading of the industry, which is crucial for an enterprise that can be competitive." Southwestern University of Finance and Economics professor Tang Jiqiang think.
The key to the implementation of good policies lies at the grassroots level. Wang Xiaojian, deputy director of the Kangercheng Taxation Bureau of Wu 'an Taxation Bureau, said: "Tax reduction and fee reduction is a strategic measure and political task of the country. As a tax cadre, to implement the spirit of this forum with high standards, we must first grasp the dialectical relationship between 'calculating current accounts and long-term accounts', continue to publicize tax reduction and fee reduction policies in an all-round way through online and offline ways, and continue to strengthen training for taxpayers and carry out tax guidance, effectively help taxpayers and payers clarify the applicable standards and scope of preferential policies, administer taxes strictly in accordance with the law, and ensure that tax reductions and fee reductions operate within the framework of regulations and policies, so that taxpayers and payers have a real sense of gain and satisfaction."
Information source: Chinese government website
Edited by He Yang
