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National authorities, together with the Ministry of Finance (MOF), the State Taxation Administration (STA) and the general Administration of Customs (GAC), along with provincial and local governments, have reacted shortly to COVID-19. On the tax administration entrance, the STA prolonged February’s statutory tax filing deadline to February 28. This may be further extended by native tax authorities the place the outbreak is especially severe (akin to in Hubei province). Lewis Lu of KPMG discusses how the Chinese authorities has moved to assist companies affected by the ongoing COVID-19 outbreak. The exemption is not time restricted; it’s understood to be in place till COVID-19 is brought beneath control. At a more focused stage, particular corporate revenue tax (CIT) and VAT incentives have been launched for enterprises engaged in producing key provides related to COVID-19 safety and containment (e.g. masks, protective clothing). They have set out a string of tax reliefs and preferential measures to assist enterprises and citizens.

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