State Council executive meeting on Nov 29

Premier Li Keqiang heard an update on the progress of replacing the business tax with a value added tax (VAT), and supervision of central State-owned enterprises (SOEs) at the Nov 29 State Council executive meeting.

The meeting decided to return fixed amounts of VAT to ensure the financial security of local governments and strengthen external oversight on SOEs.

Support for entrepreneurship in rural areas

The State Council General Office issued a guideline to support entrepreneurship and innovation, and promote the integration of primary, secondary and tertiary industries in rural areas.

Migrant workers, college graduates, retired soldiers and science workers will have policy support for entrepreneurship and innovation in rural areas.

Further promote domestic service consumption

The State Council General Office issued a circular to further promote consumption in tourism, culture, sports, health, elderly care and educational training.

Standardized management of auxiliary police

The State Council recently issued a circular to specify rules on the management of auxiliary police, including their responsibilities, recruitment, supervision and protection of their rights.

Management of subsidies for compulsory education in urban and rural areas

The ministries of Finance and Education recently issued management methods of subsidies for compulsory education in urban and rural areas to enhance supervision and raise efficiency.

The two ministries should decide key content supported by subsidies according to the central government and education reforms.

Rules for land VAT

The State Administration of Taxation issued a document to clarify the tax base and collection methods for a VAT in real estate transfers after replacing the business tax with a VAT.

Tax breaks on Shenzhen-Hong Kong stock link

The Ministry of Finance, State Administration of Taxation and China Securities Regulatory Commission jointly issued a circular on tax collection in the Shenzhen-Hong Kong stock link on Dec 1.

According to the circular, individual mainland investors buying shares in Hong Kong through the program will be exempted from personal income tax on profits for three years.

300 national food security standards formulated, amended

The National Health and Family Planning Commission issued a plan for food security standards and evaluation (2016-2020).

According to the plan, the food security monitoring system will be further improved in the 13th Five-Year plan period, with 300 national food security standards formulated and amended.

Efforts to improve food security in rural areas

The food security office of the State Council recently issued a circular, urging more efforts to improve food production environments and food security in rural areas.

According to the circular, local governments should find loopholes and formulate reports to facilitate inspection teams’ work from the central government.

More care for the disabled

Seven ministries, including the China Disabled Persons Federation and the National Development and Reform Commission, issued a plan to improve grassroots service capacity for disabled people.