Premier Li Keqiang visited Shiyan, Hubei province on May 23 and reiterated that we should ensure tax burdens are reduced in all industries while implementing VAT.
It has been nearly one month since the overall implementation of VAT.
When visiting a sub-branch of Shiyan Rural Commercial Bank, Hubei province, Premier Li inquired about the tax changes at financial institutions since the implementation of VAT, and urged financial sectors to strictly avoid taxes being shifted to the real economy’s burdens.
The inquiry lasted more than 10 minutes, during which Zhou Xiaochuan, chief of the Central Bank, and Wang Jun, director-general of the State Administration of Taxation, joined the discussion.
During a visit to the civic service center of Shiyan government the Premier also inquired about the implementation of VAT.
Learning that the amount of tax to be paid was reduced while the tax base was expanded, the Premier said the goal of the reform is to reduce enterprises’ tax burden. “We should invest in creating a favorable environment for market players, just as we ‘provide enough water for fish-farming’, in order to stimulate greater vitality”, the Premier said.