West China Special Tax

According to the Announcement of the Ministry of Finance, the State Taxation Administration, and the National Development and Reform Commission [2020] No.23 from January 1, 2021 to December 31, 2030, the enterprise income tax will be levied at a reduced rate of 15% on enterprises engaged in the encouraged industries in the western regions. The term "enterprise engaged in the encouraged industries" as mentioned in this article shall refer to enterprises whose main business belongs to the industries specified in the Catalog of Encouraged Industries in the Western Regions and the main business income accounts for over 60% of their own gross revenues.

The term "western regions" stated herein shall include Inner Mongolia Autonomous Region, Guangxi Zhuang Nationality Autonomous Region, Chongqing Municipality, Sichuan Province, Guizhou Province, Yunnan Province, Tibet Autonomous Region, Shaanxi Province, Gansu Province, Qinghai Province, Ningxia Hui Autonomous Region, Xinjiang Uygur Autonomous Region, and Xinjiang Production and Construction Corps. The enterprise income tax policy for the western regions may be applied to Xiangxi Tujia and Miao Autonomous Prefecture in Hunan Province, Enshi Tujia and Miao Autonomous Prefecture in Hubei Province, Yanbian Korean Autonomous Prefecture in Jilin Province, and Ganzhou City, Jiangxi Province.