Shaoxing Textile City 90% Business Tax Exemption

"I received a big red envelope from the tax department last week!

This year, the sales volume is less than 100 thousand yuan, and the operating households can be exempted from all taxes and fees.

Yesterday, Keqiao's Dongsheng Road woolen Market "dry peak cloth" operator Wei Shui Gan pleased to say that last year, his fabric sales quota of 95 thousand yuan, the total amount of taxes and fees to pay about 60 thousand yuan, this year, all can be waiver.

The reporter learned from the Keqiao tax bureau of Keqiao district tax bureau that, in order to implement the tax reduction and reduction policy of small and micro enterprises, and lighten the burden of enterprises, according to the notice of the Ministry of Finance and the State Administration of Taxation on the implementation of preferential tax reduction policies for small and micro enterprises, the tax authorities of Keqiao decided that the 5 households who had less than 100 thousand yuan monthly sales in the Keqiao textile market were exempt from 5.05% taxes, including value-added tax, personal income tax, urban construction and maintenance tax, education fee addition and local education fee addition. This will reduce the total tax exemption for the self-employed households in the textile market to 206 million yuan, and 94% of the operating households will not need to pay taxes.

China Textile City is the largest cloth distribution center in Asia, with a turnover of 180 billion 838 million yuan in 2018, an increase of 10.1% over the same period last year.

By the end of 2018, there were 18308 self-employed households in the Textile City, including 17578 households with a monthly sales of less than 100 thousand yuan. Last year, the total taxes and fees of self-employed households were 219 million yuan.

"Most of the light textile market operators are less than 100 thousand yuan annual sales. This tax relief has achieved the benefit of the small and micro enterprises in the textile market."

The person in charge of the Keqiao Tax Branch said that, in addition to the tax and fee reduction of the individual households in the light textile market, the tax reduction and exemption of the textile company in the light textile city is also unprecedented, in which the annual profit of the textile company is below 1 million yuan, the income tax is halved on the basis of last year; the income tax can be reduced by about 65% on the basis of last year in the company with the annual profit of 1 million to 3 million yuan.

"After the Spring Festival, I rented a retail department in the joint market to do fabric business. The rent was 58 thousand yuan. The receipt of the large red envelope from the tax department almost offsets the rental charge for one year, which means that it is free to do business."

He said that he had been doing fabric business in Kunming, and decided to go back to Shaoxing to do fabric business this year.

"The tax department will strengthen the measures of market tax administration, increase inspection efforts, and implement the work of building accounts and building certificates."

The relevant person in charge of the Keqiao tax bureau said that the individual business owners who sell the quota below 100 thousand yuan should carry out investigation and inspection to strengthen the management of the market.