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Home >> China
UPDATED: 17:27, May 24, 2005
China to cut 93% agricultural tax this year
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The national revenue from agricultural tax will be reduced from 23.2 billion yuan in 2004 to around 1.5 billion yuan this year, a decrease of 93 percent, a person in charge from the State Administration of Taxation said on May 23.

Statistics showed that during the first four months of this year, the nation collected a total agricultural and husbandry tax of 305 million yuan (including 710,000 yuan husbandry tax), 1.036 billion yuan, or 77.3 percent, less over the same period of the previous year. The reduced agricultural and husbandry tax indicate much lighter burdens for farmers nationwide.

Expanded area of zero agricultural tax and continuously implemented tax exemption policy are main reasons for the tax reduction this year, this person in charge said. Up to now, altogether 27 provinces, autonomous regions and cities nationwide have scrapped, or decided to scrap agricultural tax.

Provinces and autonomous region as Hebei, Shandong, Yunnan and Guangxi also lowered their agricultural tax as required by policy, as well as cancelled agricultural tax of impoverished counties at state level.

The revenue of agricultural specialty tax also dropped by more than 50 percent due to cancellation of the tax except that on tobacco. The nation collected a total amount of 327 million yuan during the first four months this year, 329 million yuan, or 50.1 percent less than the same period of the previous year.

Among the 24 regions who still pay agricultural specialty tax, all the revenue came from that on tobacco.

By People's Daily Online


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