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National authorities, together with the Ministry of Finance (MOF), the State Taxation Administration (STA) and the final Administration of Customs (GAC), together with provincial and local governments, have reacted shortly to COVID-19. On the tax administration entrance, the STA prolonged February’s statutory tax filing deadline to February 28. This may be additional extended by local tax authorities the place the outbreak is especially severe (such as in Hubei province). Lewis Lu of KPMG discusses how the Chinese authorities has moved to help companies affected by the continued COVID-19 outbreak. The exemption is just not time restricted; it is understood to be in place until COVID-19 is brought underneath control. At a more focused stage, specific corporate revenue tax (CIT) and VAT incentives have been launched for enterprises engaged in producing key supplies related to COVID-19 safety and containment (e.g. masks, protective clothing). They’ve set out a string of tax reliefs and preferential measures to support enterprises and citizens.

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