At a press conference held at the National People’s Congress, China’s Minister of Finance suggested that there would be more tax reforms in the following year after the recent expansion of the value added tax pilot scheme. The Finance Minister indicated that it has already been agreed to extend the VAT pilot scheme, which replaces business tax in China to prevent double taxation. The pilot scheme is to be extended to include the telecom services sector, and later this year the railway and postal sectors.
The government will also be looking at property tax reform and modifications to the taxation of resources, especially with regard to environmental factors. The Finance Minister confirmed also that the Government is working on the structure of consumption taxes and import and excise duties.
