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30,000 Jiading enterprises join “BT to VAT Reform” pilot project

By Lin Hong ( chinadaily.com.cn ) 2014-02-21

30,000 Jiading enterprises join “BT to VAT Reform” pilot project

A pilot project called “BT (business tax) to VAT (value added tax) Reform”, which took its first steps in the transportation industry and part of the modern services industry, has begun in Shanghai.

In all 29,900 enterprises from Jiading district were authorized to join the “BT to VAT Reform” pilot project after undergoing suitability testing at the end of last year.

“According to last December’s figures, 8,000 yuan was saved in tax which could be used for expanding the business and recruiting two more employees,” the manager of Haoyu Media told a reporter. This company is one of the small-scale tax payers in the “BT to VAT Reform” pilot project, which suggests 10,000 yuan could be saved every month as the tax rate has been cut from 5 to 3 percent due to the reform. This helped small-scale taxpayers save 193 million yuan in total in 2013, averaging 16.08 million yuan per month.

Edited by Lin Hong and Brian Salter

MAIL TO DISTRICT CHIEFjiading@jiading.gov.cn

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