Tax reduction service in Guangxi boosts big business
The Guangxi Taxation Bureau implemented personalized tax reduction and fee reduction services to help large enterprises in Guangxi reduce burdens and costs, as well as accelerate their transformation and upgrading.
In May, Guangxi issued the 15 Measures for Personalized Taxation Services for Large Enterprises to establish a taxation service working mechanism for major tax-related matters of large enterprises.
In response to the characteristics of taxation services and management of large enterprises, the 15 measures including large enterprise visits, high-level dialogues with tax enterprises, establishment of chief liaisons of large enterprises, training of tax policies, optimization of services for enterprises, as well as prior assessment of major issues were launched.
The implementation of a series of new policies, such as the reduction of the VAT rate, the addition of input tax, and the expansion of the input tax deduction, have greatly boosted enterprise development.
In the first four months of this year, enterprises in the region have increased the value-added tax to 1.48 billion yuan ($215.41 million) due to the policy. Among them, large enterprises have increased or exempted the value-added tax of 600 million yuan, accounting for 40.68 percent. In the same period, large enterprises in Guangxi paid a total of 43.7 billion yuan in tax revenue, accounting for 49.9 percent of the region's total. The added value of smelting and rolling processing industry, as well as transportation equipment manufacturing industries such as railways, shipbuilding, and aerospace achieved double-digit growth.
In addition, tax reduction also entices large enterprises to carry out research and innovation. In the first four months of this year, the R&D investment of Guangxi's large enterprises increased by 30.16 percent year-on-year.