China frees coronavirus fighters from taxes and fees


China's authorities have taken a shift in tax policy towards easing the financial burden in a number of sectors of the country's industry for those companies struggling or affected by the country's new coronavirus epidemic, Xinhua news agency will report on February 7. Dley companies of the transport, food, tourism and hotel sectors losses recorded in 2020 could be carried over for a maximum period of up to eight years, the country's finance ministry and tax watchdog said in their recent statement. People working in transport, life support and the delivery of essential goods are exempt from VAT, and the Government has also developed a preferential tax policy on donations and subsidies for people who participate in the fight against the epidemic. In addition, under the new policy, airlines are exempt from paying contributions to the civil aviation development fund. The relevant measures shall enter into force on 1 January 2020 retroactively. The deadline for the cancellation of the new policy will be determined and announced later, depending on the development of the epidemiological situation in the country.

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