China will extend some favourable income tax policies to ease the burden for middle- and low-income groups, state media said on Wednesday, quoting a cabinet meeting chaired by Premier Li Keqiang.
The measure is expected to cut taxes by 110 billion yuan a year, the cabinet was quoted as saying.
China will further cut taxes and fees next year to support struggling businesses, the finance ministry said on Monday, echoing pledges from the annual Central Economic Work Conference held earlier this month, an agenda-setting meeting of the country's top leaders.
Preferential taxes on year-end bonuses will stay in place till the end of 2023, lower taxation on equity incentives will continue through 2022 and exemptions on some tax payments will be given to low income earners, according to a State Council statement released Wednesday.
