Announcement of the State Administration of Taxation on Issues concerning Tax Collection and Administration under the Policy on the Reduction of Local Taxes and Related Surcharges for Small-scale Value-added Taxpayers (Public Notice [2019] No. 5)

19 January 2019

The State Administration of Taxation ("SAT") issued the above notice concerning tax collection and administration on the reduction of local taxes and related surcharges the value-added tax exemption policy for small-scale taxpayers, which is effective from 19 January 2019. In order to provide convenience for small-scale taxpayers in filing tax returns of local surtaxes, the SAT made various amendments to the relevant filing instructions. General value-added taxpayers shall enjoy the preferential policy of tax reduction from the month when they become small-scale taxpayers. Taxpayers shall apply for the preferential policy of tax reduction without submitting additional materials.