Premier Li Keqiang emphasized the driving force of the reform that will replace business tax with value-added tax next month, saying that the reform is a key part of the work of the central government this year.
Premier Li said that replacing the business tax with a VAT will involve more than 10 million taxpayers in four newly-added industries: construction, real estate, finance and life services and the purpose of this reform is to bring benefits to enterprises that will invigorate market vitality.
Premier Li stressed that the reform of the fiscal and tax systems has a wide influence and attracts great attention. The change from business tax to value added tax (VAT) is a crucially important part for deepening the fiscal and tax reforms.
Guo Shengxiang, dean of the Australian think tank Academy of APEC Creative Finance