On 2 December 2016, Mr. Shi Yaobin, Vice Finance Minister said that China will simplify VAT rates in future to ease tax burdens.
“The current tax system has too many tiers and may confuse policy implementation and impede fair competition,” Shi said during a press conference. VAT rates have four levels, ranging from 6 to 17 per cent. Mr. Shi did not provide a timetable or other details of the changes.
Mr. Shi said “China will continue to improve its VAT system by pushing forward the legislation at a proper time”.
