To ensure employment and people's well-being, we must instill confidence in over one hundred million market entities; and we must do our utmost to help enterprises, particularly micro, small, and medium businesses, and self-employed individuals get through this challenging time.
We will further cut taxes and fees.
We will aggressively implement current policies in conjunction with institutional arrangements to create a more enabling environment and help market entities overcome difficulties and achieve development. We will continue implementing reductions of VAT rates and the share of employees' basic old-age insurance paid by enterprises, and we will make further tax and fee cuts of about 500 billion yuan. The policies introduced early this year that are due to expire by June will all be extended till the end of the year. They include the following: exempting micro, small, and medium businesses from contributions to basic old-age insurance, unemployment insurance, and work injury compensation insurance schemes; reducing or cancelling VAT for small-scale taxpayers; exempting VAT on services such as public transportation, restaurants and hotels, tourism and entertainment, and culture and sports; and reducing or cancelling civil aviation development fund contributions and port development fees. The payment of corporate income taxes by micro and small businesses and self-employed individuals will be postponed to next year. We expect that these measures will see additional savings of more than 2.5 trillion yuan for enterprises throughout the year. All tax and fee reduction policies must be fully implemented for our businesses, so that they can sustain themselves and assure success for the future.