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China cuts 1.1t yuan of taxes, fees in 2021

Xinhua | Updated: 2022-01-26 10:22
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A woman shows banknotes and coins included in the 2019 edition of the fifth series of the renminbi. [Photo/Xinhua]

BEIJING - China cut about 1.1 trillion yuan ($173.9 billion) of taxes and fees in 2021 amid the country's efforts to bolster economic growth and strengthen market vitality, the top tax authority said on Wednesday.

Last year, the country rolled out a slew of preferential policies on deducting and deferring taxes and fees to shore up the industrial economy and support micro, small and medium-sized enterprises, Wang Daoshu, deputy head of the State Taxation Administration, told a press conference.

A total of 216.2 billion yuan of tax payments were deferred for micro, small and medium-sized enterprises in the manufacturing sector last year, Wang said.

He added that enterprises in the coal, power and heating industries saw 27.1 billion yuan in tax cuts, rebates and deferrals.

China's tax income, excluding export tax rebates, stood at 15.46 trillion yuan and achieved the government's annual target, Wang noted.

Tax income accounted for 15.1 percent of the country's gross domestic product in 2021, edging down 0.1 percentage points and 3 percentage points from that of 2020 and 2015, respectively, indicating that tax burdens on market entities were further eased, Wang said.

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