(ATF) – The Ministry of Finance and the State Administration of Taxation has announced that due to pressure caused by the Covid-19 epidemic, they will reduce Value-Added Tax (VAT) demands on small businesses.
Nationwide, VAT has been reduced from a prepaid 3% to 1%.
And business in Hubei, the province hit hardest by the coronavirus epidemic, have been given exemption from VAT for several months while people and businesses recover from the health crisis.
The new ruling will last from March 1 to May 31 for small-scale VAT taxpayers, the ministry said.
