Temporary Floating Social Security Rate! More Measures To Reduce The Burden Of Smes

Chinese new latitude and longitude client February 6 (Xu Shiming) affected by the new coronavirus pneumonia epidemic, recently, Xibei restaurant chairman Jia Guolong said "loan wages can only stay for 3 months", triggering social concern for small and medium enterprises. According to the incomplete statistics of the Sino Singapore Jingwei client, Beijing, Shanghai, Jiangxi and Shandong have issued relevant policies and measures since February, reducing burdens for small and medium-sized enterprises and supporting small and medium-sized enterprises to tide over difficulties.

In February 3rd, Lian Weiliang, deputy director of the national development and Reform Commission, pointed out that, from the current situation, the impact of the epidemic on the current economy, especially on consumption, is increasing, especially for transportation, cultural tourism, hotel catering and entertainment services.

More support for SME policy

On the evening of February 2nd, Suzhou issued the first policy of reducing the burden of small and medium-sized enterprises, and the implementation period of the policy was tentatively scheduled to be 3 months from the date of promulgation of the policy. In addition to increasing financial support, small and medium-sized enterprises which are faced with temporary difficulties in production and operation and are unable to fully pay social insurance premiums will be able to postpone retirement insurance, unemployment insurance and work-related injury insurance premiums, with a maximum period of 6 months.

In reducing the burden of enterprises, enterprises with special difficulties and failing to pay taxes on time may apply for an extension of tax payment for a maximum period of not more than 3 months.

Subsequently, Beijing, Shanghai, Huzhou, Yancheng, Chongqing, Haikou, Ningbo, Fuzhou, Shandong, Jiangxi, Jiangxi and many other places issued successive policies and measures to support the development of small and medium-sized enterprises. It mainly focuses on increasing financing support, extending the payment period of social insurance, and reducing related taxes.

For example, in February 3rd, 19 measures were introduced in Beijing to emphasize that enterprises that are affected by the epidemic will not be able to borrow money, lend money or not to lend money to the enterprises with temporary difficulties, but will continue to pay the social insurance premium to the end of July.

In addition, Ningbo has been the first to introduce a temporary social insurance premium rate policy in the whole country. Jiangxi and other places also referred to the reduction of rent for enterprises. For enterprises that rent and sell state owned assets, 1 months rent free and 2 month rent reduced by half. The rental of other business premises shall be encouraged to reduce the rent for the tenants, which shall be settled through consultation between the two sides.

Multi departmental dispatch focuses on business difficulties

In the face of a new outbreak of coronavirus pneumonia, the Department issued a notice on the related issues of enterprise management.

In January 30th, the notifications of the State Administration of Taxation pointed out that taxpayers and withholding agents who reported on a monthly basis would extend the statutory declaration tax payment period in 2020 to February 24th in the whole country, and the serious epidemic areas such as Hubei could be extended appropriately according to the situation. After the extension of the tax declaration period in February 2020, it is still difficult to handle the case and apply for further extension according to law.

On the same day, the Ministry of human resources and social affairs also issued a notice that the insured enterprises and individuals were allowed to postpone their business. Due to the epidemic situation, the employing units should handle the registration, payment and other business of employees in due course.

In February 1st, the five departments jointly issued by the central bank and the Banking Regulatory Commission jointly issued the notice on further strengthening financial support to prevent and control the epidemic of pneumonia caused by new coronavirus, and proposed to strengthen credit support in key areas such as small and micro enterprises and private enterprises. Pan Gongsheng, deputy director of the people's Bank of China and director of the foreign exchange bureau, pointed out in an interview that the wholesale and retail businesses, lodging and catering, logistics and transportation, cultural tourism and other industries affected by the epidemic, as well as those with difficulties in development, but those affected by the epidemic, especially small and micro enterprises, should not blindly borrow money, break loans or suppress loans.

It is worth noting that in February 3rd, when the central bank launched an open market operation and invested 1 trillion and 200 billion yuan, it invested 500 billion yuan in February 4th and accumulated 1 trillion and 700 billion yuan on two days.

In addition, the executive meeting of the State Council, held in February 5th, decided to launch a number of fiscal and fiscal policies supporting the protection of the epidemic on the basis of previous measures to prevent and control the epidemic. The meeting decided to make good use of the special reloan policy to support the banks in providing key loans to the key enterprises in the production, transportation and sale of key medical prevention and control materials and daily necessities, including small and micro enterprises, providing preferential interest rate loans, and giving half discount to the government to ensure that the loan interest rate of enterprises is less than 1.6%.

How can SMEs overcome difficulties?

"The epidemic in Wuhan was the largest black swan in early 2020, which exposed the risk of business risks in an instant. For the vast number of small and medium-sized enterprises, only survival is the king. Gao Song, director of China Mobile Learning Research Center, said.

"Now the local governments are making vigorous efforts to introduce policies to support small and medium-sized enterprises, or even faster than the speed of public opinion." Zhao Xiangyang, an associate professor at the school of economics and management, Beijing Normal University, said small and medium-sized enterprises must make full use of all policies, and suggest that specific personnel should be appointed to study government policies and make good use of them.

Wang Yonggui, vice president of Capital University of Economics and Business, suggested that small and medium-sized enterprises should make full use of the advantages of small boats and turn around, and fully tap and utilize new opportunities emerging in the relevant market of epidemic prevention and control, seek and create market opportunities in new business areas, and find a new blue ocean or new niche market.