VAT invoice authentication for more than 9000 class-A and class-B taxpayers will be canceled starting from April 1st in Yichang and comprehensive cooperation are achieved, concerning in 44 tax items of national and land tax; the tax items can be dealt with in the whole province from April 6th; from May1st, the trial of replacing business tax with VAT will be expanded to cover more industries, such as construction industry, real estate, financial industry and service industry etc. one hundred and fifty thousand taxpayer will have access to the benefits from the one by one tax reform.

After introducing 20 Innovation Opinions for Vigorously Supporting Real Economy Development last year for supporting the real economy development in Yichang, State Administration of Taxation (SAT) of Yichang firstly launched the Implementation Opinions on Targeted Support of the Yichang Structural Reform of Supply Front onMarch 25th, providing an active alignment and a proper service for Yichang economy and society development and sustaining the structural reform of supply front, which aims at cutting overcapacity and excess inventory, deleverage, reducing costs and strengthening points of weakness.

The Opinion, centering on structural reform of supply front, from many aspects such as support of Yichang enterprises’ adjustment and optimization the industrial structure, asset restructuring, transformation and upgrading, restructuring and listing, guiding of the excess capacity to transfer, sustain of the infrastructure construction and promoting the green economy development, exercises more aggressive tax preference and service measures, which include 15 preferential tax policies, 7 fine service and 5 law enforcement reform. (the 12th edition) According to the new tax policies, the research and development expenses and equipment cost invoice of a batch of enterprises based on independent innovation, including Angela Biological, Yichang Magnetic Electronic, Xingfa Phosphorous Chemical, can be used for offsetting against tax correspondingly; the income tax rate of a batch of local high-tech enterprises, including Sdic Science and Technology, Humanwell Healthcare Group, Xunda Science and Technology reduce by 15%; the new policies encourage the enterprises to go aboard and the bonus of revenue will promote the construction of Yichang area of Hubei province Free Trade area and Yichang Bonded Logistics Center and development of local enterprises, including Gezhou Dam and Angel Group. Cutting overcapacity of tax regulation, which takes both encouraging and discouraging measures according to the circumstances, will accelerate the transformation of iron and steel, cement, sand, batteries, coating and green development of economy in Yichang.

The Opinion also proposes that the fine services proceed with precise reform of law enforcement. Many services, including online authentication, the third-party payment of taxes, online invoicing, online booking, and online training make all businesses possible to process online. The license of tax administration can be approved by one principal at the limited time. Many innovative services, including the national and land tax cooperation inversion 2.0, electronic revenue and invoice, handling same cases in the same way, law enforcement by reasoning and measures of normative enforcement are released to practically eliminate the taxpayer’s difficulties.

Dai Yimin, the Municipal internal revenue service commissioner, said that we would focus on the key tasks concerning structural reform of supply front, earnestly carry out the assessment of effects of the policy implementation, understand the enterprises’ demands, pertinently serve for the structural reform of supply front and implement the last step of the reform. (Journalist Zhang Liang, Correspondent Yang Kai)