In a recent announcement, China’s Ministry of Finance has underscored the importance of diligently applying fiscal and tax strategies to bolster the growth of small and medium-sized enterprises (SMEs) and facilitate their journey towards high-quality advancement.
One of the key directives from the ministry pertains to the effective execution of tax reduction and fee alleviation initiatives. By implementing these measures, the aim is to alleviate the tax burden specifically for small and micro enterprises, thus fostering an environment conducive to their prosperity.
The ministry made it abundantly clear that any illicit activities within this sector would be met with a resolute zero-tolerance approach, as outlined in an official circular.
Another critical aspect highlighted in the circular is the necessity of harmonizing fiscal and financial policies to ensure that the financing requisites of SMEs are met adequately.
Furthermore, the ministry accentuated the necessity of putting into action supportive policies. This encompasses mechanisms like government procurement enhancements and strategies to stabilize employment rates, both of which are set to play an instrumental role in expediting the progress of SMEs.
Echoing this sentiment, the circular also extended encouragement to local governing bodies to introduce tailored fiscal policies. These specialized measures would serve to fortify the weaker aspects within SMEs, offering them targeted assistance for overall improvement.